EURCAD firmer, tests retracement resistance; target 1.52/1.53 - Scotiabank

Analysts at Scotiabank suggests that EURCAD is making a little more headway which reflects the generally soft undertone in the CAD elsewhere. 

Key Quotes

“The EUR rally through trend channel resistance in the low 1.47 area last week had pointed to a pick up in the rally in the cross but EURCAD became bogged down around the 1.4927 retracement resistance in the past few days,  A sustained rise through 1.4927 (76.4% of the 1.53/1.38 drop) plus the fact that trend oscillators (DMI) are aligned bullishly for the EUR on the intraday, daily and weekly charts continues to suggest that the balance of technical risks favours the cross advancing to the 1.53 area and a full retracement.  We see support at 1.4850/75 and (stronger) 1.4775.”