EUR/CAD to extend its race higher toward 1.44 – Scotiabank

EUR/CAD has regained the 1.40 handle for the first time since March. Solid trend points to more gains, economists at Scotiabank report.

Key support seen around the 1.3750/1.3850 zone

“There is sufficient momentum behind this move to lift the target to 1.44 (50% Fib at 1.4427).”

“Trend momentum signals are aligned and strongly EUR-bullish across short-, medium- and long-term timeframes. This will not only support additional gains in the EUR but it should also limit corrective losses significantly moving forward.” 

“We expect firm support on minor dips to the high 1.39s from here and see key support around the 1.3750/1.3850 congestion zone.”