FX.co ★ Technical analysis and trading recommendation for EUR/CAD for May 11, 2015

EUR/CAD

The cross had been consolidating for 6 day before it moved higher to the crucial resistance level of 1.3765. The cross was rejected at the same supply zone again and changed its direction. We recommended selling below 1.3620 with targets at 1.3510 and 1.3470. As of now, the pair made a low at 1.3495. At today's Asian session, the pair held 50Dsma and was trading above that. The parallel support is found at 1.3470 and 1.3400, which is the buying level with sl 13385. On the higher side, 1.3765 is the supply zone. A daily close above 1.3765 will be added to the system with targets at 1.3810, 1.4000, and 1.4080. The current uptrend will be cancelled in case the price breaks below 1.3385. On a bullish front, two levels arrested the current rally (1.3765 200Wsma and 1.3780 50Msma). We expect 400pips on the higher side if these take out on a closing basis.

Trade: positional buying between 1.3500,1.3440, and 1.3410 with sl 1.3385.