© Dukascopy Bank SA
The bullish correction, which occurred yesterday, did not manage to continue, as today EUR/CAD experienced a bearish reaction, which has already managed to breach the weekly PP at 1.2909. As for now, the currency couple is slowly moving towards the 20-day SMA at 1.2809, which will probably stop the downtrend. In case it fails to slow down the current tendency, then the price is likely to reach the 200-day SMA at 1.2756, which in turn is expected to change the direction of the prevailing movement downwards. In addition, the overall indicator outlook is bullish, therefore a soon trend reversal might be expected.
Traders' sentiment
Traders at SWFX market expect that the Euro will lose value against the Canadian Dollar, since only 29% of traders hold bullish positions and more than 71% of traders hold bearish positions. The situation with orders is rather neutral, as 52% of traders ordered to buy and 48% ordered to sell the single European currency.
© Dukascopy Bank SA