FXStreet (Edinburgh) – The Canadian dollar is trimming part of its initial losses vs. the euro, taking EUR/CAD to test the key support at 1.43 the figure.

EUR/CAD lower on data

The cross has retreated from the area of daily tops near 1.4350 after Canadian Ivey’s PMI has ticked lower to a seasonally adjusted 53.1 during October vs. 54.0 anticipated and down from September’s 53.7.

In the meantime, the cross is extending its bearish trend and challenging 4-month lows around current levels, all backed by a renewed softness around the European currency and some recovery in crude oil prices, which have been lending support to CAD.

EUR/CAD significant levels

As of writing, the cross is up 0.18% at 1.4314 and a break above 1.4536 (55-day sma) would aim for 1.4716 (downtrend from 1.5562) and finally 1.4912 (high Oct.21). On the other hand, the next support aligns at 1.4122 (200-day sma) ahead of 1.4000 (psychological level) and then 1.3988 (61.8% Fibo of 1.3015-1.5562).

The Canadian dollar is trimming part of its initial losses vs. the euro, taking EUR/CAD to test the key support at 1.43 the figure…

(Market News Provided by FXstreet)

By FXOpen