FxWirePro: EUR/CAD runs out of steam but maintains bullish outlook

• EUR/CAD slipped on Thursday as cautious market mood and tepid  German Consumer Confidence figures failed to support the pair.

• Fresh figures from GfK and the Nuremberg Institute for Market Decisions show consumer sentiment improving to -22.3 in October from -23.5 in September, slightly surpassing Reuters’ forecasts and marking its strongest reading since April.

• A modest improvement in sentiment is encouraging, but with the index remaining deeply negative, a consumer-driven recovery in Germany is still uncertain.

• These numbers come on the heels of Wednesday’s weak IFO German Business Climate Survey, fueling concerns over the pace of Germany’s economic growth.

• Technical are bullish, daily RSI is bullish  at 55, daily momentum studies  9 and 10 DMAs are trending up.

• Immediate resistance is located at 1.6359(23.6%fib), any close above will push the pair towards 1.6382 (Higher BB).

•  Support is seen at 1.6218 (SMA 20) and break below could take the pair towards 1.6095 (38.2%fib).

Recommendation: Good to buy  around 1.6250, with stop loss of 1.6130 and target price of 1.6350