EUR/CAD to push towards 1.39/1.40 on a clear break above 1.3755 – Scotiabank

EUR/CAD pressures key resistance in the mid-1.37s. A break above the latter would open up additional gains toward the 1.39/1.40 area, economists at Scotiabank report.

Clear reduction in bearish technical pressure

“EUR/CAD price action reflects a clear reduction in bearish technical pressure. The EUR is nearing the mid-1.37 zone that has served as a cap on the market since early April; a break above this point – on a consistent basis – is needed to really signal a change in tone for the cross.”

“We think a clear break above 1.3755 targets a push to 1.39/1.40.”