Today we’re looking at two short term chart patterns from the EUR/CAD chart, (2) from the 60 minute time frame and (3) from the 30 minute time frame. The top pattern (1), is a continuation triangle from the daily time frame. (2), a Fibonacci three-point retracement, shows downwards movement between 1.5844 and 1.5763 (targets 0.382 and 1.272). (3) too is reaching downwards from where it broke through support line (X) below 1.5800. So, what is the outlook? When we look at (1) from the daily time frame we see that price is converging between 1.5910 and 1.5710 and is currently around 1.5810. Taking into account the movement towards resistance line (Z), this means that in the longer term price will probably go higher towards the 1.5910 resistance level before moving downwards towards the support line (W).

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