Forex Market: EUR/CAD daily outlook

During Friday’s trading session EUR/CAD traded within the range of 0.8362-0.8400 and closed at 0.8393.

At 7:45 GMT today EUR/CAD was gaining 0.15% for the day to trade at 1.5505. The pair touched a session high at 1.5514 at 6:15 GMT.

Fundamental view

Frances preliminary manufacturing PMI (Purchasing Managers Index) probably remained in the zone pointing contraction during March. The PMI probably stood at 49.6 this month, according to the median estimate by experts, as in February it was at 49.7.

French preliminary services PMI probably climbed to 47.5 in March from 47.2 during the preceding month. Markit Economics is to publish the official numbers at 7:58 GMT.

German preliminary manufacturing PMI probably slowed down to 54.5 this month from 54.8 in February. Values above the key level of 50.0 are indicative of expansion in the sector.

Activity in nations services sector probably slowed down to 55.5 in March from 55.9 during the prior month. The official data by Markit is due out at 8:28 GMT.

At the same time, the preliminary reading of Euro zones manufacturing PMI probably was at 53.1 this month, while in February the index came in at 53.2.

The services PMI in the single currency bloc probably rose to 53.0 during March from a final reading of 52.6 in February. Higher than projected reading will certainly provide support to demand for the euro. Markit Economics will release the official reading at 8:58 GMT.

Technical view

According to Binary Tribune’s daily analysis, in case EUR/CAD manages to breach the first resistance level at 1.5538, it will probably continue up to test 1.5596. In case the second key resistance is broken, the pair will probably attempt to advance to 1.5660.

If EUR/CAD manages to breach the first key support at 1.5416, it will probably continue to slide and test 1.5352. With this second key support broken, the movement to the downside will probably continue to 1.5294.