EUR/CAD: Undertone to weaken below 1.4325 – Scotiabank

EUR/CAD fails at key 1.4615 resistance. Now, the pair looks soft and prone to renewed weakness again, in the view of economists at Scotiabank.

Key resistance seen at 1.4615

“The late year consolidation in EUR/CAD has taken the form of a rough – but validlooking – bear flag.”

The EUR is testing the base of the consolidation and a break below 1.4325 should signal a resumption of the losses we have been expecting to (eventually) unfold.”

“Key support remains 1.4165.”

“Key resistance remains 1.4615.”