EUR/CAD is rising strongly as diverging interest-rate expectations favor the Euro (EUR) over the Canadian Dollar (CAD). The pair is trading at about 1.4950 at the time of writing and is forming a continuation price pattern (shaded blue rectangle) which – should it complete – could forecast probable higher prices to come.
EUR/CAD Daily Chart 
Assuming that Wednesday’s close is above 1.4930 and the day ends as a bullish green candle, the pattern will be confirmed. The Average Directional Indicator (ADX) is used to assess the strength of the trend and it is rising at above 20 further confirming the likelihood of the bull trend continuing.If the pattern completes – as looks highly likely – the pair will probably rise to roughly 1.5000, where it will encounter resistance from the dark gray trendline. A break above the day’s highs would serve as confirmation. It is also possible it could continue even higher to the resistance line at 1.5040. A decline below 1.4839, however, would invalidate the pattern. More By This Author:GBP/USD Consolidates Below One-Year Top, Looks To UK CPI For Fresh Directional Impetus AUD/JPY Recovers Further From Over Two-Week Low, Lacks Bullish Conviction Gold Price Sticks To Intraday Gains, Bulls Seem Non-Committed Amid Risk-On/USD Uptick
