Forex: EUR/CAD bid above 1.2300

FXstreet.com (San Francisco) - The bounce from recent all-time lows extended to as high as 1.2353 this Tuesday, finding resistance at the 55 EMA on the 4-hour chart.

"Intraday price action looks to be consolidative, rather than signaling a reversal," observes TD Securities. "Trend momentum remains bearish across a range of time frames so we expect gains to be limited and for modest pops (to the 1.2400/50 area) to draw sellers. We continue to target 1.21."

At the time of writing, EURCAD is quoted in the 1.2340 area, recording a 0.5% gain. If the upside pressure persists and manages to push above the mentioned mean, further resistance lies at 1.2386, in the 1.2425-35 area (21-day EMA; 23.6%, 1.2977/1.2268) and 1.2488 (8 July low). To the downside, support lies at 1.2320 (19 July low).