Market NewsTechnical Analysis

EUR/CAD: A Battle between Horizontal Support and the SMA 30

USD/CAD Jobs Report Powell speech
  • EUR/CAD has been choppy on the H4 chart.
  • A horizontal support is in play, but the SMA 30 has been working as a resistance.
  • The H1 chart may get bullish over 1.46300.
  • Intraday minor charts have been choppy in Tokyo session.
EUR/CAD H4 chart
EUR/CAD H4 chart

EUR/CAD- Technical Analysis- H4 chart

The chart shows that the price had multiple bounces at 1.45670. At the last bounce, it produced a bullish engulfing candle and headed towards the North. The simple moving average 30 worked as a resistance. The sellers do not look that confident to drive the price towards the South. A breakout below the horizontal support may drive the price towards the downside with good momentum. The price may find its next support around 1.44700.

On the upside, if the level produces a bullish momentum and ends up making a breakout at the SMA 30, the buyers may keep their eyes on the price action to go long from the value areas. In that case, it may find its next resistance around 1.45500.

EUR/CAD H1 chart
EUR/CAD H1 chart

Price Action Analysis- H1 Chart

The chart shows that the price has found its support at 1.45900. It had bounced at the level twice. Thus, a breakout at the 1.46300 may be considered as a neckline breakout of a double bottom. A breakout at the neckline may push the price towards the North. The price may find its next resistance around 1.46800.

On the downside, the sellers may wait for the price to make a strong bearish momentum followed by a breakout at the level of 1.45900 to look for short opportunities. A bearish breakout may drive the price towards the level of 1.45600. It means the sellers may struggle to find short opportunities with lucrative risk-reward.

Written by: Md Tareq Sikder, Senior Analyst Forex Prop News

Contact and follow Tareq on Twitter: @tareqfpn

Leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Our Newsletter

Subscribe to ForexPropNews Trading Newsletters

Receive the best-curated content by our editors for the week ahead.

Mini Charts

Fidelcrest video review

Play Video

Related Articles

A Closer Look at Trends in Global Stock Markets

Global indices like Nikkei 225, FTSE 100, and DAX 40 hit record...

Surging Markets: A Week of Record Highs and Key Risk Events Ahead

Last week's record highs in US stock markets driven by tech and...

AUD/USD in Focus: Resistance Levels and Inflation Data Awaited

The Aussie dollar faces resistance against the US dollar ahead of key...

USD/CHF: Choppy Price Action on the H4

USD/CHF – Technical Analysis- H4 Chart The chart shows that the price...

Featured educational content

EXPLORE MORE

Featured educational content

New to Forex? Learn to Read Charts Like a Pro

Dive into forex trading basics: chart reading, candlesticks, technical indicators, timeframes, currency pairs. Start your journey to trading success today!

Video: How I Re-Programmed My Mind to be a Consistent Trader (Thanks to The Wolf of Wall Street)

How I Re-Programmed My Mind to be a Killer Trader (Thanks to The Wolf of Wall Street)

Video: This Invisible Trading Indicator Tells you What Day Trade (Not Just Price)

This Invisible Trading Indicator Tells you WHEN to Trade (Not Just Where)

Technical Analysis: Chart Patterns and Indicators for Profitable Investments

Navigate stocks with confidence using chart patterns like Head and Shoulders, indicators such as MACD, and tools like trendlines. Master technical analysis for...

Latest News

Global Stock Markets
Market News

A Closer Look at Trends in Global Stock Markets

Global indices like Nikkei 225, FTSE 100, and DAX 40 hit record highs but may consolidate amid economic uncertainties.

Surging Markets Week of Record Highs
Market News

Surging Markets: A Week of Record Highs and Key Risk Events Ahead

Last week's record highs in US stock markets driven by tech and AI stocks set a positive tone for investors.

Copyright © 2023 Forex Prop News. All Rights Reserved.