Euro traders huddle up! Today we’re exploring EUR/CAD’s short-term range and a potential breakout on EUR/USD. Check them out!
EUR/CAD looks ready to bounce from the 1.4620 area!
As you can see, the level is right smack at a support level from mid-July. Not only that, but stochastic is flashing an oversold signal. Talk about a one-two punch!
Buying at current levels would give you a good reward-to-risk ratio especially if EUR/CAD jumps back to its 1.4715 range resistance.
If you’d rather short the euro, however, then you could also wait for the pair to break below its July’s lows. The 1.4150 and 1.4500 areas of interest from as far back as 2017 are good levels to target if you’re betting on a longer-term downtrend for EUR/CAD.
Good luck trading this one!
Remember that downtrend situation that we talked about a few days back? Well, it’s time for the bears to take their selling to the next level.
By “next level” I really meant next support areas. See, if EUR/USD breaks below the 1.1120 support that we’re eyeing, then the bears are free to drag it all the way down to the previous areas of interest near 1.1000 or even 1.0850.
Think EUR/USD will see another bounce from 1.1120 instead? You can buy at the earliest signs of bullish momentum and take quick profits as soon as it hits the SMAs or the falling trend line.
Whichever side you’re on today, make sure you have your future moves already noted on your trading plans. Remember that you gotta “plan the trade and trade the plan” if you wanna make it another day in the forex jungle!