Having a look at the EURCAD pair over daily studies, we will discover that, prices have jumped after re-testing the initial support areas of 1.3430.
This bounce increases the probability of forming the right shoulder of inverse head and shoulders pattern.
The RSI14 also has found support at the value of 50.00 where it inched higher once again signaling some kind of bullish momentum.
Coming above Ribbons lines (EMA21-55) once again is classified as a sign of strength for short-term traders.
The key level for this classical setup resides at 1.3775 and a break of which will affirm tracing the head and shoulders pattern.
Only coming beneath the right shoulder areas will damage the classical probability.