The G-7 Conference and A Currency Pivot Point:
By G.R. Harrison, Copyright 2018
I guess you could say that things could have gone better!
The fact that this G-7 attempt at looking unified failed at the exact time that both the Euro and the Canadian Dollar reached a support/pivot point in price where they can go either way (with very little pressure) is the main concern.
Our chart for the EUR/USD below shows a price support/pivot Stop at the point shown with the blue circle. This is a sensitive price zone area and should prices close below it, we can expect another downswing in price ahead.
The Prime Minister of Canada didn't help his country through his actions either. Looks like an open trade war with the US is what he achieved with his immature actions. That action also is occurring at a weak support/pivot price point for the Canadian Dollar (USD/CAD) as shown on the chart below.
The simple fact is that the Canadian Dollar was already to test a support level before this weekend's fiasco with the G-7. Watch the price area shown by the blue circle on the above chart. Should prices Close below this price zone, expect another slide in value for the Canadian Dollar. - George
