Chapter 45 EURCAD back to a downtrend
19/06/2023
Summary
The Interest Rate and CPI in Eurozone lead the market
Fundamental analysis
Fundamentally in this pair, We see the data released last few days in Europe the interest rate at 4% and the CPI Inflation rate at 6.1% same as market expectations Which gives a negative look for euro sentiment, on the other hand, we see all the previous data has been released on the Canadian dollar is actually positive which that gives strength to the Canadian dollar
Eurozone ECB Main Refinancing Rate
Fcst: 4%
Act.: 4%
Eurozone HICP Final YoY
Prev.: 6.1%
Act.: 6.1%
Technical analysis
In this 4-hour diagram chart, the market price now is 144115, we expect the market to move up to the previous supply zone at 1.44300 to create new Lower highs and from there the price with turn back down to the oldest demand zone at 1.43500 creating new Lower lows with the 20-moving average pointing down.
Trading Recommendation
Trading Direction: Short
Entry Price: 1.44321
Target Price: 1.43566
Stop Loss: 1.44821
