EUR/CAD has reached the 1.37 level. The pair may consolidate but downside risks remain, economists at Scotiabank report.

Minor EUR/CAD rallies are liable to attract better selling interest

“We could certainly see some consolidation in the EUR in the short run but absent a more significant rebound – back through 1.4250 – medium-term risks will remain geared towards low, or lower, levels prevailing.”

“A high close on the week may signal more short-term gains/consolidation but trend momentum oscillators are bearishly aligned across medium, long and very long-term timeframes, meaning minor EUR rallies are liable to attract better selling interest.”