Euro drops notably in early European session, in particular against commodity currencies. EUR/CAD’s rebound from 1.5313 was stronger and longer than expected. Though, the structure still suggest it’s a corrective three wave move. The break through 55 day EMA, with today’s decline, suggests that the corrective rise might be completed.
Further fall is now in favor as long as 1.5657 minor resistance holds. Decisive break of 1.5402 support should affirm that case that fall from 1.5978, as the third leg of the consolidation pattern from 1.5991, is resuming. In this case, we’d likely see EUR/CAD breaking through 1.5313 support to 100% projection of 1.5978 to 1.5313 from 1.5783 at 1.5118.
