USD/CAD: Short-Term Buy
USD/CAD, 4-Hour Chart Analysis
The pair has been drifting lower in recent days but it remained relatively strong, despite the rise in the price of oil that usually helps the Canadian Dollar. The cross is now trading near multiple strong support zones that could ignite a new leg up in the ongoing long-term uptrend.
The long-term trend is expected to resume once the current correction runs its course. The 1.3175 level provides a great stop-loss opportunity for a bounce after today’s interest rate decision of the Bank of Canada. Further strong support is found near 1.3150 with the 1.3450 level ahead serving as primary resistance.
EUR/GBP: Short-Term Sell (Update)
EUR/GBP, 4-Hour Chart Analysis
The pair quickly turned lower yesterday afternoon and broke below the 0.85 level. The move justifies a slightly lower stop-loss level for short-term traders. The 0.8550 resistance provides a good choice for the new stop-loss, while long-term traders could leave the stop above the 0.86 resistance for now.
The 0.8450 and 0.84 levels could be in play in the coming days, as traders continue to focus on the French elections and its possible negative effects of the common currency. The current short-term downtrend points to a re-test of the 0.8350 level, as the Pound continues to act relatively strong.