On the 4-hour chart, the EURCAD currency pair has formed a wedge pattern. This pattern is characterized by converging trendlines, indicating a period of consolidation and potential volatility ahead.
A breakdown below the lower border of the wedge pattern, currently around 1.4535, would suggest that the downside move from 1.5042 has resumed. In such a scenario, the next target for the pair would be around the 1.4400 area. Traders should closely monitor the price action around this support level for potential bearish momentum.
On the upside, immediate resistance is identified at 1.4642. If the price manages to break above this level, it could trigger another rise towards the upper border of the pattern, which is currently around 1.4690. A decisive move above the pattern resistance would then aim for the 1.4760 area.
