By: Dima Chernovolov
EUR/CAD recently broke the 60-minute key support level 1.4748 which was previously identified by Autochartist. Autochartist rates the Significance of this support level at the 6-bar level – which is the result of the six earlier price reversals from this price level. EUR/CAD is expected to continue to fall toward the forecast price 1.4691.
As can be seen from the daily EUR/CAD chart below – the pair earlier reversed down from the key resistance level 1.4800 (which has been reversing the pair from the start of May) intersecting with the upper daily Bollinger Band and the 38.2% Fibonacci correction of the downward impulse from April. The proximity of these resistance levels and the strength of the active daily downtrend increase the probability EUR/CAD will continue to fall toward forecast price 1.4691.