USD/CAD: A break above 1.3725 allows a further recovery
|EUR/USD – USD/CAD
EURUSD remains in an awkward sideways trend, with the inside day only emphasising the lack of direction. We topped exactly at first resistance at last week's high at 1.1335/45 & bottomed exactly at best support at 1.1265/55.
USDCAD also in a sideways trend as predicted a couple of weeks ago.
Daily Analysis
EURUSD holds best support at 1.1265/55. Longs need stops below 1.1240. A break lower targets 1.1215/05, perhaps as far as strong support at 1.1180/70.
Longs at at 1.1265/55 target 1.1300/1290 with resistance again at 1.1335/45. Scalping strategy is still the only way to trade the pair. Be ready to buy a break above 1.1360 for a retest of the June high at 1.1410/20.
USDCAD edges back to the 1.3610/20 target & topped exactly here. A break higher targets 1.3635/45 with resistance at 3 week highs at 1.3705/15. A break above 1.3725 allows a further recovery to strong resistance at 1.3790/1.3800.
Minor support at 1.3575/65 but longs need stops below 1.3550. Next target & support at 1.3500/1.3490. Longs need stops below 1.3470. A break lower is a sell signal targeting 1.3465/60, 1.3440/30 & perhaps as far as 1.3400/90.
Trends
Weekly outlook is neutral.
Daily outlook is neutral.
Short Term outlook is neutral.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.