EUR/CAD has been quite impulsive with the bullish gains yesterday after bouncing off the 1.50 support area. After the effect of Euro Group Meeting and ECB Monetary Policy Meeting Accounts, EUR seemed to have the upper hand over CAD which might lead to certain short- and medium-term bullish pressure. Though CAD has been the dominant currency in the pair, upcoming bullish momentum is expected to be a form of retracement inside the strong bearish trend.
Today, German Ifo Business Climate report was published with a slight increase to 102.2 from the previous figure of 102.1 which was expected to decrease to 102.0 and throughout the day today ECOFIN meeting is going to be held which is expected to inject some volatility in the process.
On the CAD side, though today there is no economic report or event to impact the market momentum but yesterday Canada’s Corporate Profits report was published with an increase to 2.7% from the previous negative value -1.9%. Though the positive economic report did not quite help the currency to sustain its bearish pressure against EUR yesterday but in the long-term further gain on the CAD side is expected.
As for the current scenario, EUR is expected to gain short- or medium-term momentum against CAD as ECOFIN Meeting is expected to contribute to the EUR gains in the coming days until Canada comes up with upbeat economic reports to support its further gains.
Now let us look at the technical view. The price is currently residing above the 1.5050 area from where it is expected to show certain bullish momentum towards the dynamic level of 20 EMA before showing any further bearish momentum in the future. Having Bullish Divergence in place for a long time in the pair, certain bullish momentum probability in the current market situation is quite higher. As the price remains above 1.50 with a daily close, certain bullish retracement is expected.
The material has been provided by InstaForex Company – www.instaforex.com
EUR/CAD has been quite impulsive with the bullish gains yesterday after bouncing off the 1.50 support area. After the effect of Euro Group Meeting and ECB Monetary Policy Meeting Accounts, EUR seemed to have the upper hand over CAD which might lead to certain short- and medium-term bullish pressure. Though CAD has been the dominant currency in the pair, upcoming bullish momentum is expected to be a form of retracement inside the strong bearish trend.
Today, German Ifo Business Climate report was published with a slight increase to 102.2 from the previous figure of 102.1 which was expected to decrease to 102.0 and throughout the day today ECOFIN meeting is going to be held which is expected to inject some volatility in the process.
On the CAD side, though today there is no economic report or event to impact the market momentum but yesterday Canada’s Corporate Profits report was published with an increase to 2.7% from the previous negative value -1.9%. Though the positive economic report did not quite help the currency to sustain its bearish pressure against EUR yesterday but in the long-term further gain on the CAD side is expected.
As for the current scenario, EUR is expected to gain short- or medium-term momentum against CAD as ECOFIN Meeting is expected to contribute to the EUR gains in the coming days until Canada comes up with upbeat economic reports to support its further gains.
Now let us look at the technical view. The price is currently residing above the 1.5050 area from where it is expected to show certain bullish momentum towards the dynamic level of 20 EMA before showing any further bearish momentum in the future. Having Bullish Divergence in place for a long time in the pair, certain bullish momentum probability in the current market situation is quite higher. As the price remains above 1.50 with a daily close, certain bullish retracement is expected.
The material has been provided by InstaForex Company – www.instaforex.com
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