22 Oct 2014
EUR/CAD consolidates losses near 1.4200
FXStreet (Edinburgh) - After falling more than a big figure from levels above 1.4300 the figure, EUR/CAD is now consolidating the decline around the 1.4200 handle.
EUR/CAD hurt by the BoC
The unexpected tone from the BoC in today’s monetary policy meeting and the subsequent Monetary Policy Report (MPR) caught investors off guard, boosting the Loonie and dragging the cross to an ephemeral test of 1.4160, or fresh weekly lows. Hence, the CAD is now well poised for further gains, after the BoC revised up its inflation forecasts and dropped the neutral stance regarding changes in its monetary policy. “We had expect a push above 1.4420 to yield a rise to 1.47/1.48 but conviction has decreased here around the recent volatility in the cross”, noted Shaun Osborne, Chief FX Strategist at TD Securities.
EUR/CAD is now losing 0.48% at 1.4202 with the next support at 1.4094 (low Oct.10) and the initial resistance at 1.4500 (high Oct.16).
EUR/CAD hurt by the BoC
The unexpected tone from the BoC in today’s monetary policy meeting and the subsequent Monetary Policy Report (MPR) caught investors off guard, boosting the Loonie and dragging the cross to an ephemeral test of 1.4160, or fresh weekly lows. Hence, the CAD is now well poised for further gains, after the BoC revised up its inflation forecasts and dropped the neutral stance regarding changes in its monetary policy. “We had expect a push above 1.4420 to yield a rise to 1.47/1.48 but conviction has decreased here around the recent volatility in the cross”, noted Shaun Osborne, Chief FX Strategist at TD Securities.
EUR/CAD is now losing 0.48% at 1.4202 with the next support at 1.4094 (low Oct.10) and the initial resistance at 1.4500 (high Oct.16).