EUR/CAD recently broke the Clear Triangle chart pattern which was previously identified by Autochartist on the daily charts. The quality of this chart pattern is rated by Autochartist at the 8-bar level – which reflects the significant initial trend (7 bars), above-average uniformity (6 bars) and near-maximum clarity (9 bars). Autochartist rates the strength of this triangle breakout at the 8-bar level – which increases the probability the pair will soon reach the forecast price 1.4314.
As can be seen from the daily EUR/CAD chart below – the upper trendline of this triangle is based on two price reversals from the strong resistance zone lying between the resistance level 1.4690, upper daily Bollinger® Band and the 61.8% Fibonacci correction of the previous downward impulse from April. The proximity of this resistance zone adds to the likelihood EUR/CAD will soon reach the forecast price 1.4314.
