empty
04.08.2023 03:15 PM
EUR/CAD dynamics scenarios on August 4, 2023

This image is no longer relevant

Today at 12:30 GMT, market participants are focused on the release of the latest monthly report from the U.S. Department of Labor with data for July. At the same time (at 12:30 GMT), Statistics Canada will present a report with data on the Canadian labor market for July.

In other words, at this time, we should expect a sharp increase in market volatility, primarily in quotes of the U.S. and Canadian dollars.

Now, let's consider the dynamics of the EUR/CAD cross-pair.

This image is no longer relevant

After breaking through key resistance levels of 1.4410 (200 EMA on the daily chart) and 1.4485 (200 EMA on the weekly chart) at the beginning of last month, the pair is trading in a long-term bullish market zone.

Technical indicators OsMA and Stochastic on the 1-hour, 4-hour, daily, and weekly charts are also in favor of buyers, confirming the preference for long positions.

If today's report from Statistics Canada turns out to be weak (an increase in unemployment in July by +0.1%, to 5.5% is expected) and disappoints market participants, we should expect further strengthening of the EUR/CAD pair.

This image is no longer relevant

In that case, long positions can be opened from the current levels at 1.4630 with targets at resistance levels of 1.4880 and 1.5090 (local highs). Further targets are located near resistance levels of 1.5900 and 1.5970.

In the alternative scenario, EUR/CAD will break through support levels of 1.4600 (200 EMA on the 1-hour chart), 1.4586 (200 EMA on the 4-hour chart), and after breaking through key support levels of 1.4410 and 1.4365, it will move deeper into the downward channel on the weekly chart, towards its lower boundary and the level of 1.4100.

The ultimate downside target is located near 1.2900 and 1.2860 (August 2022 lows).

In other words, EUR/CAD provides plenty of trading opportunities both to the upside and the downside.

Support levels: 1.4600, 1.4586, 1.4485, 1.4410, 1.4365

Resistance levels: 1.4700, 1.4800, 1.4830, 1.4900, 1.5000

Jurij Tolin,
Analytical expert of InstaForex
© 2007-2025
Select timeframe
5
min
15
min
30
min
1
hour
4
hours
1
day
1
week
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

GBP/USD: Trading Plan for the U.S. Session on March 18th (Analysis of Morning Trades)

In my morning forecast, I focused on the 1.2994 level and planned to make market entry decisions based on it. Let's look at the 5-minute chart and analyze what happened

Miroslaw Bawulski 18:30 2025-03-18 UTC+2

EUR/USD: Trading Plan for the U.S. Session on March 18th (Analysis of Morning Trades)

In my morning forecast, I focused on the 1.0904 level and planned to make market entry decisions based on it. Let's look at the 5-minute chart and analyze what happened

Miroslaw Bawulski 18:25 2025-03-18 UTC+2

How to Trade the GBP/USD Pair on March 18? Simple Tips and Trade Analysis for Beginners

Analysis of Monday's Trades 1H Chart of GBP/USD On Monday, the GBP/USD pair also attempted to resume its upward movement and even broke through the latest local high within

Paolo Greco 06:08 2025-03-18 UTC+2

How to Trade the EUR/USD Pair on March 18? Simple Tips and Trade Analysis for Beginners

Analysis of Monday's Trades 1H Chart of EUR/USD On Monday, the EUR/USD currency pair resumed its upward movement but remained within a sideways channel between the levels of 1.0804

Paolo Greco 06:08 2025-03-18 UTC+2

Trading Recommendations and Analysis for GBP/USD on March 18: The British Pound is Flying North Again

On Monday, the GBP/USD currency pair again showed an upward movement despite having no reason. The market continues to buy the British pound purely out of inertia, much like Bitcoin

Paolo Greco 02:35 2025-03-18 UTC+2

Trading Recommendations and Analysis for EUR/USD on March 18: A New Increase, But Within Reasonable Limits

The EUR/USD currency pair continued to trade higher on Monday but within a confined range that can be considered a sideways channel. Traders again ignored all news supporting the U.S

Paolo Greco 02:35 2025-03-18 UTC+2

GBP/USD: Trading Plan for the U.S. Session on March 17th (Review of Morning Trades)

In my morning forecast, I highlighted 1.2949 as a key level for making market entry decisions. Let's analyze the 5-minute chart to see what happened. The price moved higher

Miroslaw Bawulski 17:20 2025-03-17 UTC+2

EUR/USD: Trading Plan for the U.S. Session on March 17th (Review of Morning Trades)

In my morning forecast, I highlighted the 1.0866 level as a key point for making entry decisions. Let's look at the 5-minute chart to analyze what happened. A decline

Miroslaw Bawulski 17:17 2025-03-17 UTC+2

Trading Recommendations and Analysis for GBP/USD on March 17: The Pound Shows No Interest in the Economy

The GBP/USD currency pair experienced a slight decline on Friday, with minimal volatility. In fact, the British currency has been falling for three consecutive days, losing a total

Paolo Greco 02:54 2025-03-17 UTC+2

Trading Recommendations and Analysis for EUR/USD on March 17: The Euro Remains Steady at Highs

The EUR/USD currency pair traded upward again on Friday, although no clear reasons emerged for this movement. The increase occurred during the European trading session, followed by a period

Paolo Greco 02:54 2025-03-17 UTC+2
Can't speak right now?
Ask your question in the chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.