EUR/CAD forecast: bearish momentum targets key 1.4700 support level
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EUR/CAD continues its decline toward the psychological 1.4700 level, with bearish momentum indicated by the 14-day RSI, which hovers near oversold conditions at 30. Any break below 1.4700 could extend losses to the seven-month low at 1.4587, while resistance near 1.4870 and the EMAs above could limit recovery attempts if momentum reverses.
EUR/CAD Forecast: Downside Bias as Pair Nears Key Support at 1.4700
The EUR/CAD cross remains under pressure, extending its losing streak to a fifth session, trading close to 1.4770 in early European trading hours. Technical indicators suggest continued bearish momentum, with the nine-day EMA below the 14-day EMA, reinforcing downside pressure.
Key Technical Levels and Indicators
Support Levels:
1.4700: This psychological level serves as immediate support and a potential pivot for traders watching for signs of a deeper correction. A break below 1.4700 could pave the way toward the seven-month low of 1.4587. 1.4587: A move below 1.4700 would bring this level, the low from earlier this year, into focus.
Resistance Levels: 1.4870: The first resistance level, termed “pullback resistance,” now represents a previous support level. A move above 1.4870 would suggest a potential reversal, though caution may prevail as sellers may re-enter. EMAs: The nine-day EMA at 1.4884 and the 14-day EMA at 1.4922 serve as dynamic resistance. A break above these could help establish short-term bullish momentum, targeting the 1.5000 zone.
Momentum Indicators
The 14-day RSI hovers slightly above the 30 mark, indicating sustained bearish pressure but not yet in fully oversold territory. If the RSI falls below 30, this may prompt a short-term recovery toward the 1.4800-1.4850 range.
Outlook
With EUR/CAD close to the critical 1.4700 level, bearish momentum may persist unless buyers can defend this support level or initiate a recovery toward key resistance zones. Any breakout above the nine- and 14-day EMAs would signal potential bullish interest. Traders await further price action for confirmation of either continued downside or consolidation near current levels.
EUR/CAD Forecast: Downside Bias as Pair Nears Key Support at 1.4700
The EUR/CAD cross remains under pressure, extending its losing streak to a fifth session, trading close to 1.4770 in early European trading hours. Technical indicators suggest continued bearish momentum, with the nine-day EMA below the 14-day EMA, reinforcing downside pressure.
Key Technical Levels and Indicators
Support Levels:
1.4700: This psychological level serves as immediate support and a potential pivot for traders watching for signs of a deeper correction. A break below 1.4700 could pave the way toward the seven-month low of 1.4587. 1.4587: A move below 1.4700 would bring this level, the low from earlier this year, into focus.
Resistance Levels: 1.4870: The first resistance level, termed “pullback resistance,” now represents a previous support level. A move above 1.4870 would suggest a potential reversal, though caution may prevail as sellers may re-enter. EMAs: The nine-day EMA at 1.4884 and the 14-day EMA at 1.4922 serve as dynamic resistance. A break above these could help establish short-term bullish momentum, targeting the 1.5000 zone.
Momentum Indicators
The 14-day RSI hovers slightly above the 30 mark, indicating sustained bearish pressure but not yet in fully oversold territory. If the RSI falls below 30, this may prompt a short-term recovery toward the 1.4800-1.4850 range.
Outlook
With EUR/CAD close to the critical 1.4700 level, bearish momentum may persist unless buyers can defend this support level or initiate a recovery toward key resistance zones. Any breakout above the nine- and 14-day EMAs would signal potential bullish interest. Traders await further price action for confirmation of either continued downside or consolidation near current levels.