Forecasts of the movement of the New Zealand-Canadian pair

NZDCAD on the fundamental side

The New Zealand-Canadian pair rose for the second day in a row, especially after the Canadian jobs data released at the end of the week last Friday, which came out very negative, less than expectations, whether jobs or unemployment, which rose more than expectations.

But we expect these hikes for the pair to be limited and end soon due to the weakness of the New Zealand currency as well, especially after the last meeting of the New Zealand Reserve, which cut interest rates by a quarter point as expected, but left the door open for a new round of monetary easing in the coming months.

NZDCAD on the technical side

The New Zealand-Canadian pair is trading inside a descending price channel on the daily frame, and the pair climbed on Monday for the second consecutive day of highs.

The pair is close to reaching the upper limit of the descending price channel near the levels of 0.8190, near which the pair may complete the cypher harmonic pattern.

It is possible to consider selling the pair from the current levels and then the levels of 0.8260.

With targets up to 0.8080 and then 0.8000 near the lower boundary of the descending price channel.

This scenario fails if the 0.8350 high breaks upwards.