EUR/CAD rebounds. Economists at Scotiabank analyze the pair’s outlook.

A major low/reversal might be developing 

Weekly price action suggests a major low/reversal might be developing (bullish ‘morning star’ candle signal, contingent on a high EUR close this week).

EUR gains may hold around 1.4485/1.4515 resistance in the short run but a clear move back through 1.4510/1.4515 should add to near-term EUR momentum for a push on to the mid-1.46s.

Support is 1.4325 and (stronger, assuming a high EUR close on the week) at 1.4160 now.