The single European currency has been trading in a horizontal channel against the Canadian Dollar since the beginning of July. The currency pair bounced off from the bottom border of the horizontal channel at 1.4596 on August 2.
Given that the pair is trading near the upper band of the channel pattern, a breakout could occur in the nearest future. Technical indicators flash buy signals on the 4(H) time-frame chart.
However, the exchange rate might continue to trade in the horizontal channel within this week trading sessions.
