EUR/CAD: sell targets - 1.3400 and 1.3300
By: Dima Chernovolov
- EUR/CAD reversed from resistance zone
- Next sell targets - 1.3400 and 1.3300
EUR/CAD recently reversed down sharply from the resistance zone lying between the resistance level 1.3750 (which earlier reversed the pair numerous times in March and April, as you can see from the daily EUR/CAD chart below), the upper daily Bollinger Band, the 50% Fibonacci Correction of the preceding downward impulse from February and the former support trendline of the recently broken down channel from last August (acting as resistance now after it was broken).
The downward reversal from the aforementioned resistance zone created the daily Japanese candlesticks reversal pattern Bearish Engulfing. EUR/CAD is likely to fall further inside the active (b)-wave toward the next sell targets 1.3400 and 1.3300.