EURUSD , EURUSD and USDCADTA – December 12 2016
Daily Look

EURUSD , EURUSD and USDCADTA – December 12 2016

EURUSD Intra-day Analysis


EURUSD (1.0558): EURUSD gapped lower on Monday’s open at $1.0540 with the single currency looking to retest the 1.0765 resistance level once again. EURUSD has been hovering above the 1.0500 support level but has shied away from testing this main support level over the past few weeks. Price action is likely to remain in a holding pattern within 1.0600 – 1.0500 into the FOMC meeting. The further downside could be expected on a break below the 1.0500 support level while to the upside above 1.0600, the main resistance which capped the rally last week is likely to be tested once again.

EURGBP Daily Analysis


EURGBP (0.8388): EURGBP is currently attempting to post a reversal off the 0.8373 support level in an attempt to form an inverse head and shoulders pattern. The neckline resistance at 0.8572 – 0.8585 could be the likely target to the upside with further gains coming on a break out above this level. It is a busy week for the British pound as the jobs data, inflation and the BoE meeting will weigh on the sterling. Failure to reverse off 0.8573 could, however, signal further downside towards 0.8330 support last tested on December 5th.

USDCAD Intra-day Analysis


USDCAD (1.3125): USDCAD has gapped lower following Friday’s doji close. Price action is close to the 1.3106 support level which could be tested over the next few days. A retest to the support level at 1.3106 could signal a hidden bullish divergence on the daily chart indicating a near-term upside move in prices. Resistance sits at the 1.3285 – 1.3255 region. On the 4-hour chart, following a retest of the 1.3106 support, a rebound off this support cannot be ruled out. A higher low forming off the 1.3106 support will be indicative of a near-term move to the upside with further gains likely to be reached above 1.3285 – 1.3255.

John Benjamin

John Benjamin

John is a market analyst for Orbex Ltd. and is a forex and equities trader having been involved in trading since late 2009. John makes use of a mix of technical and fundamental analysis and inter-market relationships. The analysis present here is a mix of intra-day analysis while considering the long term outlook of the markets as well. For any comments or questions, John can be reached at [email protected]