EUR/CAD: buy on the breakout
By Felipe Erazo
On the H1 chart, the EUR/CAD is making a retracement from the 1.4539 level and now this pair is facing resistance at 38.2 Fibo level (1.4577). If the pair manages to consolidate above this level, the next target would be the resistance level of 1.4588 (50.0 Fibo level) and this would facilitate a possible rise to 61.8 Fibo level (1.4600).
However, the EUR/CAD remains very strong in the bearish bias, so it is very likely that the EUR/CAD could return to its bearish trend in the next few days, because the CCI indicator is showing a bullish divergence and is also above the 100 level. However, if the EUR/CAD manages to make a breakout on the resistance level of 1.4600, the next level would target 1.4638 (100.0 Fibo level).
Trading recommendations: There is no clear patterns currently for place trades in the EUR/CAD. Anyway, wait for a breakout at the resistance level of 1.4616 for start to place long (buy) orders in this pair.