Last week’s economic figures continued to deliver strong figures on both the U.S. and Canadian front.
Summary of yesterday’s releases:
For the week ahead, my trade setups continue to remain on the technical side. In my last post, I mentioned the AUDUSD and NZDUSD as two pairs I would be watching as they are currently testing weekly levels. Those two will not be included in this set of chart setups I would be monitoring.
EURAUD: Bullish Breakout
After 11 days of selling off, this pair looks to resume the uptrend movement. Friday’s close ended in a down day, but it does provide a long entry opportunity in the near future especially as it retraces and holds up to original break-out level. This is better illustrated below on the 4-hour time-frame.
Since I missed the initial break-out move, I would have to aim for the retrace with my potential entry zone marked at the previous resistance at the 1.4591~ level.
EURCAD: Breaking Lower
Over on the EURCAD pair, we see another wave bearish sell-off. Keep in mind that Friday’s sell-off was also fundamentally driven given the strong Canadian employment figures. Depending on how next week’s open looks, it could be the perfect opportunity for a further sell-off.
GBPCAD: Breaking Lower
Similarly, GBPCAD also sold off given the stronger than expected Canadian figures. Although this downtrend isn’t nearly as strong, it also has a sell-off potential before testing the next daily support line. For now, it is the same idea to wait for market open before taking any short entries.