Chart EUR/CAD Update: Limited tests higher
Cautious trade has given way to a break higher
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.5960 | ** | 21 Apr YTD high | S1 | 1.5600 | * | congestion | |
| R3 | 1.5900 | congestion | S2 | 1.5500 | ** | congestion | ||
| R2 | 1.5800 | congestion | S3 | 1.5400 | ** | congestion, 38.2% ret | ||
| R1 | 1.5700 | break level | S4 | 1.5325 | ** | 27 Mar (w) low |
Asterisk denotes strength
11:20 BST - Cautious trade has given way to a break higher, as intraday studies continue to rise, with prices currently trading around 1.5650. Oversold daily stochastics are unwinding and the bearish daily Tension Indicator is flattening, highlighting room for continuation towards 1.5700. However, broader weekly charts continue to deteriorate, suggesting any initial tests could give way to renewed consolidation. A close above here, if seen, would improve sentiment and open up congestion around 1.5800, where more significant selling interest is expected to appear. Meanwhile, support is down to congestion around 1.5500. A close beneath here would add weight to sentiment and open up stronger support at 1.5400.