Forex Market: EUR/CAD daily forecast

During yesterday’s trading session EUR/CAD traded within the range of 1.4481-1.4546 and closed at 1.4488.

At 6:30 GMT today EUR/CAD was losing 0.08% for the day to trade at 1.4481. The pair touched a daily low at 1.4466 at 2:30 GMT, breaching the first key support.

Fundamental view

Euro zone

Spain’s annualized index of consumer prices (CPI) probably rose 0.1% in June, after adding 0.2% in the previous month. The index measures the change in price levels of a basket of goods and services from consumer’s perspective and also reflects purchasing trends. In case the CPI jumps more than projected, this would have a bullish effect on the euro. The National Institute of Statistics will release its official report at 7:00 GMT.

At the same time, the Spanish final annualized CPI, evaluated in accordance with Eurostat’s harmonized methodology, probably remained unchanged last month, matching the preliminary estimate, released on June 13th.

Canada

The number of employed people in Canada probably increased by 26 000 last month compared to May, according to the median forecast by experts. In May compared to April, the number of employed in the country rose by 25 800. Creation of new job positions is considered of utmost importance for consumer spending. In case employment in the country increases more than expected, the loonie would be supported.

In addition, the rate of unemployment in Canada probably remained unchanged at 7.0% in June. Lower than expected unemployment would have a bullish effect on Canadian dollar. Statistics Canada is expected to release its official report at 12:30 GMT.

Technical view

According to Binary Tribune’s daily analysis, in case EUR/CAD manages to breach the first resistance level at 1.4529, it will probably continue up to test 1.4570. In case the second key resistance is broken, the pair will probably attempt to advance to 1.4594.

If EUR/CAD manages to breach the first key support at 1.4467, it will probably continue to slide and test 1.4440. With this second key support broken, the movement to the downside will probably continue to 1.4399.