Will the EURCAD fall at 1.3941 or are the buyers taking over?
The EURCAD stabilized close to the 1.3941 zone, Fibonacci’s 23.6%, where the sellers will likely place pressures to take control over the price.
The price, since the 8th of December 2016, has been mostly oscillating within a downside pattern between the range of 1.4356 and 1.3818 respectively.
Probable Scenario
The latest formation and stabilization close to the 1.3941 level is a good indication that the sellers may take control over the pair in today’s trading session.
In the event where the pair drops and the sellers take over, the price could decline to 1.3818.
The Stochastic oscillator’s main and signal lines indicate that the price has greater probabilities to decelerate at the 55 zone.
Alternative Scenario
Alternatively, in the scenario where the bulls are able to place greater pressures and the pair breaks above the 1.4024 area, the price could rise to 1.4147 Fibonacci’s 61.8%.
Today’s Major Announcements
- The Markit Manufacturing PMI (Nov), the Markit Services PMI (Nov), and the Markit PMI Composite (Nov) releases will likely have a medium impact on the euro
- The BOC Governor Poloz Speech is expected to have a strong impact on the Canadian dollar
Synopsis
· Probable trend (Bearish): 1.3941
· Bearish take profit target: 1.3818
· Stop loss target: 1.4024
· Alternative trend (Bullish): 1.4024
· Bullish take profit target: 1.4147
