Technical Outlook:
- EUR/USD grinding higher, looks poised for more gains
- USD/CAD on the verge of a confirmed break of support
The EUR/USD isn’t blowing the doors off on the top-side, but is still working its way higher in bullish fashion. If it is to keep on rallying at some point it seems likely we will see momentum begin picking up. Currently the March spike-high is being tested and upon a break of the 11495 level the next targeted resistance line is the 2008 trend-line that is running down over peaks in 2011, 2014, and 2018. To negate a bullish outlook we would need to see a hard break lower towards 11300. Otherwise, short-term dip-buying opportunities could be the way to go for capitalizing on further gains in the Euro.
EUR/USD Daily Chart (grinding its way towards March high breakout)
USD/CAD is currently working on a breakdown out of a range and below support created via several lows that have formed around the 200-day MA over the past month. A close below 13485 should set up for more selling in the days ahead, with the June low next up in focus around 13315. Beneath that point lies a trend-line rising up from 2017 that could also come into play near the 13200 mark. To negate a bearish bias a breakout above 13600 is seen as needing to develop.
USD/CAD Chart (breaking down)
For all the charts we looked at, check out the video above…
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---Written by Paul Robinson, Market Analyst
You can follow Paul on Twitter at @PaulRobinsonFX
