Traders Beware!

Fraudulent websites posing to have a connection with JFD

Please be aware of fraudulent websites
posing as JFD's affiliates and/or counterparties

More information
by Charalambos Pissouros

EUR/CAD Stays Above a Short-term Uptrend Line

EUR/CAD rebounded during the European morning Monday, after it hit support near the 1.5110 level. The pair continues to trade above the tentative uptrend line drawn from the low of the 15th of August and thus, we would consider the short-term outlook to be positive for now.

If today’s recovery continues and the rate breaks above the 1.5170 barrier, then we would expect such a move to aim for our next resistance hurdle of 1.5235, defined by the peak of the 1st of August. Another break above that zone could set the stage for more bullish extensions, perhaps towards the 1.5315 zone, slightly below the peak of the 31st of July.

Taking a look at our short-term momentum indicators, we see that the RSI has topped and fallen below its 70 line, but it rebounded again today and appears ready to reenter its above-70 zone. The MACD lies within its positive territory, but below its trigger line. The rebound of the RSI supports the case for the pair to continue its upside trajectory, but the fact that the MACD is still below its trigger make us cautious that another setback may occur before the bulls decide to take charge again, perhaps for another test near 1.5110, or the aforementioned trendline.

On the downside, we would like to see a clear break below that trendline before we abandon the bullish case. Such a dip could initially aim for the 1.5055 support, the break of which could open the way for the psychological figure of 1.5000.

EURCAD 4-hour chart Technical Analysis


The content we produce does not constitute investment advice or investment recommendation (should not be considered as such) and does not in any way constitute an invitation to acquire any financial instrument or product. JFD Brokers, its affiliates, agents, directors, officers or employees are not liable for any damages that may be caused by individual comments or statements by JFD Brokers analysts and assumes no liability with respect to the completeness and correctness of the content presented. The investor is solely responsible for the risk of his investment decisions. Accordingly, you should seek, if you consider appropriate, relevant independent professional advice on the investment considered. The analyzes and comments presented do not include any consideration of your personal investment objectives, financial circumstances or needs. The content has not been prepared in accordance with the legal requirements for financial analyzes and must therefore be viewed by the reader as marketing information. JFD Brokers prohibits the duplication or publication without explicit approval.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% of retail investor accounts lose money when trading CFDs with the Company. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Please read the full Risk Disclosure.