EUR/CAD Down 64 Pips Over Past 4 Hours, Eyes 20 Day Average; Doji Pattern Appearing on Chart

EUR/CAD 4 Hour Price Update

Updated May 19, 2020 05:15 PM GMT (01:15 PM EST)

A moment of silence, please, for the end of EUR/CAD’s 3 four-hour candle up streak; price ended the previous 4 hours down 64 pips (-0.42%) to finish the four-hour candle at a rate of 1.518. Compared to its peers in the Forex, EUR/CAD gave its buyers a return that ranked 36th in terms of percentage change since the previous 4 hours.

EUR/CAD End of Day Recap

Updated 00:30 GMT (04:30 EST)

The back and forth price flow continues for EUR/CAD, which started today off at 1.52165, up 4 pips 0.03% from the previous day. Out of the 40 instruments in the Forex asset class, EUR/CAD ended up ranking 23rd for the day in terms of price change. The price chart of EUR/CAD below illustrates.

EUR/CAD Technical Analysis

The first thing we should note is that the current price of EUR/CAD is sitting close to its 20, 50 and 100 day moving averages; moving average crosses often indicate a change in momentum, so this may be worth keeping an eye on. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 20 day average, which is 13.1 pips away. Trend traders will want to observe that the strongest trend appears on the 90 day horizon; over that time period, price has been moving up. Also of note is that on a 14 day basis price appears to be forming a base — which could the stage for it being a support/resistance level going forward. For additional context, note that price has gone down 17 out of the past 30 days. And for candlestick traders, a special treat: there is a doji pattern showing up on the charts as well. Rejoice!

The View From Around the Web

We’re seeing some traders come out with interesting conviction on EURCAD, with 14 buy signals on our radar and 21 sell signals. This imputes a buy/sell ratio of 0.67, which is bearish. As for the rationale, technical traders seem to be citing the appearance of a trendline technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

Good morning traders!…The plan will be to buy VIA SELL LIMIT and wait until price RETESTS that TRENDLINE!…๐Ÿž๐Ÿค‘ VIA SELL LIMIT ENTRY: 1.52068STOP LOSS: 1.52344TAKE PROFIT: 1.51715๐Ÿ›‘CAUTION๐Ÿ›‘ Trade only what you agree with!