The Euro has been guided by a long and short-term ascending channel against the Canadian Dollar. The exchange rate bounced off the lower boundary of a dominant channel on September 22 and has since remained bullish.
After hitting the 61.80% Fibonacci retracement level, the EUR/CAD made a U-turn north. However, the 55-hour simple moving average was restricting the pair from making a further gain. This retracement can be measured by connecting the low at 1.5523 and the high at 1.6127.
Technical indicators demonstrate that the currency exchange rate could continue to trade upward during the following trading sessions. Nevertheless, traders are advised wait for the pair to breach the aforementioned SMA.
