Technical Analysis EURCAD : 2020-10-12

Recommendation for EUR/CAD: Sell

Sell Stop : Below 1,55

Stop Loss : Above 1,575

Indicator Value Signal
RSI Neutral
MA(200) Neutral
Fractals Neutral
Parabolic SAR Sell
Bollinger Bands Neutral

Chart Analysis

On the daily timeframe, EURCAD: D1 is correcting down from the maximum since February 2013. It broke down the uptrend support line. A number of technical analysis indicators generated signals for further decline. We do not exclude a bearish movement if EURCAD falls below the lower Bollinger band: 1.55. This level can be used as an entry point. We can place a stop loss above the last 2 upper fractals, the upper Bollinger band and the Parabolic signal: 1.575. After opening a pending order, we move the stop loss to the next fractal maximum following the Bollinger and Parabolic signals. Thus, we change the potential profit/loss ratio in our favor. After the transaction, the most risk-averse traders can switch to the four-hour chart and set a stop loss, moving it in the direction of the bias. If the price meets the stop loss (1.575) without activating the order (1.55), it is recommended to delete the order: some internal changes in the market have not been taken into account.

Fundamental Analysis

Canada released positive data on the labor market. Will the EURCAD quotations continue to reduce?