• EUR/CAD steadied on Thursday as geopolitical worries and a subdued Canadian dollar supported EUR/CAD.
• The risk-off sentiment reduced appetite for commodity and risk-sensitive currencies, reinforcing the euro's relative strength.
• The sharp rise in geopolitical uncertainty, particularly surrounding the escalating conflict in the Middle East, has overshadowed the usual positive influence of higher oil prices on the Canadian dollar.
• As a result, the loonie has struggled to benefit from the rally in crude markets, with investors prioritizing other assets like the U.S. dollar,euro over commodity-linked currencies amid the heightened risk environment.
• Technical highlight upside risks for EUR/CAD, with momentum studies, 5, 10 and 11 DMAs tracking north.
• Immediate resistance is located at 1.5782(Higher BB), any close above will push the pair towards 1.5845(June 11th high).
• Support is seen at 1.5690(50%fib) and break below could take the pair towards 1.5569(Lower BB).
Recommendation: Good to buy around 1.5720 , with stop loss of 1.5560 and target price of 1.5820
