Forex traders are looking forward to IFO data out of Germany, economists predict a small increase in all three categories. The Eurozone’s largest economy has been a drag on the trading bloc, and data continues to disappoint. The EURCAD remains in a holding pattern inside its horizontal resistance area, which direction will today’s data move this currency pair? Today’s fundamental analysis will take a look at the upside potential as well as the downside risk in this currency pair.

CPI data out of Canada is expected to show a decrease in monthly inflation. The Bank of Canada has sent mixed signals regarding monetary policy, and economic data clocked in weaker-than-expected over the past few trading sessions. Will today’s CPI data encourage EURCAD bulls to attempt a breakout, or will bears force a breakdown? Subscribe to the PaxForex Daily Fundamental Analysis and earn over 5,000 pips per month.