### **EUR/CAD Weekly Chart Analysis**
Hello Traders, let’s analyze the EUR/CAD pair on the **weekly timeframe**, where a compelling sell setup is emerging after a retracement and rejection from a **Fair Value Gap (FVG)**.
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| WEEKLY TIMEFRAME |
1. **FVG Rejection:**
- Price has retraced into a **Fair Value Gap (FVG)** but failed to sustain momentum, indicating bearish rejection.
- This signals potential continuation of the broader downtrend.
2. **Sell Target:**
- A breakdown below the FVG could drive EUR/CAD toward **1.4619**, the next major support level.
3. **Lower Timeframe Confirmation:**
- Validate the sell signal on **4-hour or 1-hour charts** with bearish candlestick patterns (e.g., engulfing candles, pin bars) or RSI divergence.
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### **Trade Strategy**
1. **Entry Zone:**
- Sell on a confirmed breakdown below the **FVG rejection zone** (refer to image).
2. **Price Targets:**
- **Short-Term:** 1.4619 (immediate support).
- **Extended Downside:** A break below 1.4619 may target **1.4500** (psychological level).
3. **Stop-Loss:**
- Place stops **above the FVG** to limit risk if the rejection fails.
### **Why This Setup Matters**
- **FVG Dynamics:** Fair Value Gaps often act as liquidity pools, attracting price retests before trend continuation.
- **Weekly Trend Alignment:** The rejection aligns with the broader bearish structure, increasing setup validity.
### **Critical Levels**
- **Resistance:** FVG rejection zone (current price action).
- **Support:** 1.4619 (target), 1.4500 (secondary target).
### **Conclusion**
EUR/CAD’s rejection from the weekly FVG suggests a high-probability sell opportunity targeting **1.4619**. Traders should wait for **lower timeframe confirmation** (e.g., 4-hour bearish close) before entering.
Always pair this setup with strict risk management and monitor macroeconomic catalysts (e.g., ECB/Central Bank of Canada policy shifts) that could impact the pair.
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