Today the main event of the day will be CPI from the US but the rate decision from the BoE also got some attention.
USDCAD ahead of the CPI is forming a bearish flag. This pair likes and uses trend continuation pattern so we should see a further drop, obviously if the CPI will allow us to do so.
EURGBP was pointing south even without the help of the BoE. We had a failed wedge false breakout, then a drop and a rectangle. The rectangle on the local support promoted the downswing and that what happened. Next support is on the 38,2% Fibonacci.
CADJPY is a good trading opportunity for the long-term traders. They can use here a massive inverse head and shoulder pattern and a positive swap point.
This article is written by Tomasz Wisniewski, a senior analyst at Alpari Research & Analysis
This article was originally posted on FX Empire
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