EUR/CAD is currently quite impulsive with the bearish gains which is expected to push the price much lower towards 1.50 price area in the coming days. EUR has been struggling with the recent economic news which leads CAD to gain impulsive momentum in the process.
EUR has been struggling with the recent economic reports and events where no rate hike till 2019 has been assured by ECB and Bond Purchases to end by December 2018 lead the market sentiment to shift from EUR to CAD in a glance. EUR having Main Refinancing Rate to 0.00% unchanged as expected, EUR failed to make a positive impact on the market to gain momentum. Today EUR French Flash GDP report is going to be published which is expected to increase to 0.3% from the previous value of 0.2%, German Import Prices to decrease to 0.3% from the previous value of 1.6% and French Consumer Spending is also expected to decrease to 0.6% from the previous value of 0.9%.
On the other hand, this week CAD did not have any economic report to impact or support its gains against EUR but next week CAD GDP report is going to be published which is expected to play a vital role with the upcoming gains of CAD in the process.
As of the current scenario, EUR economic report forecasts are still quite mixed and dovish which is expected to lead to more weakness against CAD in the process. Though CAD did not have any economic report or event to support its gains, the recent impulsive bearish pressure is a clear explanation of severe weakness of EUR in the process which is expected to continue further in the coming days.
Now let us look at the technical view. The price is currently quite impulsive with the bearish gains which lead the price to reside below the dynamic level of 20 EMA as well while being below 1.5450 area with a daily close. As the price progresses towards 1.50 psychological level with an impulsiveness, no intervention to correct the market in the process is expected. As the price remains below 1.5450 area with a daily close, the bearish bias is expected to continue further.
SUPPORT: 1.50
RESISTANCE: 1.5450 - 1.5500
BIAS: BEARISH
MOMENTUM: IMPULSIVE
