Back
18 Mar 2014
EUR/CAD rallying on back of EUR/USD
FXStreet (Guatemala) - EUR/CAD has jumped up on the back of a rally recently seen in EUR/USD while Crimea is taking the headlines yet again.
Reports of Russian troops storming a Ukrainian base in Simferopol saw EUR/USD take out the 1.39 level again to the upside and subsequently EUR/CAD has made a high of 1.5436. Strategists at TD Securities noted that the German ZEW saw a large downside miss, reportedly largely on the back of a hit to sentiment from the Crimean crisis while they explained that the market remains well-supported in the low 1.53 area and a little below recent cycle highs (highest since late 2009). Our bull target has been reached and while we did highlight the risk of an overshoot previously, the EUR is showing signs of flagging momentum in the short run. “This may leave the cross vulnerable to a drift back to support in the mid 1.52s (trend and MA supports converge)”.
EUR/CAD Levels
The 20 DMA is 1.5280, the 50 DMA is 1.5105 and the 200 DMA is 1.4280. RSI (14) reads 58.30. Supports are ascending from 1.5135, 1.5225, 1.5280 and 1.5305. Spot is 1.5432 while resistances are, 1.5465, 1.5500, 1.5600 and 1.5690
Reports of Russian troops storming a Ukrainian base in Simferopol saw EUR/USD take out the 1.39 level again to the upside and subsequently EUR/CAD has made a high of 1.5436. Strategists at TD Securities noted that the German ZEW saw a large downside miss, reportedly largely on the back of a hit to sentiment from the Crimean crisis while they explained that the market remains well-supported in the low 1.53 area and a little below recent cycle highs (highest since late 2009). Our bull target has been reached and while we did highlight the risk of an overshoot previously, the EUR is showing signs of flagging momentum in the short run. “This may leave the cross vulnerable to a drift back to support in the mid 1.52s (trend and MA supports converge)”.
EUR/CAD Levels
The 20 DMA is 1.5280, the 50 DMA is 1.5105 and the 200 DMA is 1.4280. RSI (14) reads 58.30. Supports are ascending from 1.5135, 1.5225, 1.5280 and 1.5305. Spot is 1.5432 while resistances are, 1.5465, 1.5500, 1.5600 and 1.5690