EUR/CAD dynamics scenarios on August 4, 2023
August 4, 2023 2:22 pmVideo
Latest News
- Overview of the EUR/USD pair on April 19th. Jerome Powell crushed all euro growth prospects April 19, 2024
- Key events on April 19: fundamental analysis for beginners April 19, 2024
- Trading plan for GBP/USD on April 19. Simple tips for beginners April 19, 2024
- Trading plan for EUR/USD on April 19. Simple tips for beginners April 19, 2024
- Forecast for EUR/USD on April 19, 2024 April 19, 2024
- Forecast for GBP/USD on April 19, 2024 April 19, 2024
- Forecast for USD/JPY on April 19, 2024 April 19, 2024
- Technical Analysis of Intraday Price Movement of Litecoin Cryptocurrency, Friday April 19 2024. April 19, 2024
- Technical Analysis of Intraday Price Movement of Polkadot Cryptocurrency, Friday April 19 2024. April 19, 2024
- Michelle Bowman reiterated Jerome Powell’s opinion April 19, 2024
- The ECB has finally made up its mind April 19, 2024
- The dollar is in control April 19, 2024
- Analysis of the GBP/USD pair on April 18, 2024 April 18, 2024
- Analysis for EUR/USD pair on April 18th. Dull ending to a dull week April 18, 2024
- USD/JPY: Simple trading tips for novice traders on April 18th (US session) April 18, 2024
- GBP/USD: Simple trading tips for novice traders on April 18th (US session) April 18, 2024
- EUR/USD: Simple trading tips for novice traders on April 18th (US session) April 18, 2024
- GBP/USD: trading plan for the US session on April 18th (analysis of morning deals) April 18, 2024
- Trading Signals for EUR/USD for April 18-20, 2024: buy above 1.0641 (21 SMA – 2/8 Murray) April 18, 2024
- Bitcoin slides ahead of halving event – Crypto News April 18, 2024
Today at 12:30 GMT, market participants are focused on the release of the latest monthly report from the U.S. Department of Labor with data for July. At the same time (at 12:30 GMT), Statistics Canada will present a report with data on the Canadian labor market for July.
In other words, at this time, we should expect a sharp increase in market volatility, primarily in quotes of the U.S. and Canadian dollars.
Now, let’s consider the dynamics of the EUR/CAD cross-pair.
After breaking through key resistance levels of 1.4410 (200 EMA on the daily chart) and 1.4485 (200 EMA on the weekly chart) at the beginning of last month, the pair is trading in a long-term bullish market zone.
Technical indicators OsMA and Stochastic on the 1-hour, 4-hour, daily, and weekly charts are also in favor of buyers, confirming the preference for long positions.
If today’s report from Statistics Canada turns out to be weak (an increase in unemployment in July by +0.1%, to 5.5% is expected) and disappoints market participants, we should expect further strengthening of the EUR/CAD pair.
In that case, long positions can be opened from the current levels at 1.4630 with targets at resistance levels of 1.4880 and 1.5090 (local highs). Further targets are located near resistance levels of 1.5900 and 1.5970.
In the alternative scenario, EUR/CAD will break through support levels of 1.4600 (200 EMA on the 1-hour chart), 1.4586 (200 EMA on the 4-hour chart), and after breaking through key support levels of 1.4410 and 1.4365, it will move deeper into the downward channel on the weekly chart, towards its lower boundary and the level of 1.4100.
The ultimate downside target is located near 1.2900 and 1.2860 (August 2022 lows).
In other words, EUR/CAD provides plenty of trading opportunities both to the upside and the downside.
Support levels: 1.4600, 1.4586, 1.4485, 1.4410, 1.4365
Resistance levels: 1.4700, 1.4800, 1.4830, 1.4900, 1.5000
The material has been provided by InstaForex Company – www.instaforex.com
Related Posts: