28 Apr 2016
GBP/CAD hovers above 1.8300
The GBP/CAD cross fell to a fresh weekly low of 1.8260 to finally close flat in the 1.8320/30 region, with both, the CAD and the GBP underperforming against the greenback. The cross has lost its early week upward momentum, and the daily chart shows that the price is barely holding above a bearish 20 SMA, indicating an increasing downward potential.
GBP/CAD technical perspective
“In the 1 hour chart, the technical indicators have lost upward strength and are slowly turning south above their mid-lines, whilst the 20 SMA has turned flat below the current level, limiting chances of a downward move in the short term,” said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart, however, the risk remains towards the downside, as the 20 SMA capped advances and is now the immediate resistance at 1.8350, whilst the technical indicators remain within bearish territory, although turning higher. At this point, the cross needs to break below 1.8260, the daily low, to confirm further slides, back to 1.8104, this month low.”
Support levels: 1.8260 1.8210 1.8155. Resistance levels: 1.8350 1.8410 1.8465.
GBP/CAD technical perspective
“In the 1 hour chart, the technical indicators have lost upward strength and are slowly turning south above their mid-lines, whilst the 20 SMA has turned flat below the current level, limiting chances of a downward move in the short term,” said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart, however, the risk remains towards the downside, as the 20 SMA capped advances and is now the immediate resistance at 1.8350, whilst the technical indicators remain within bearish territory, although turning higher. At this point, the cross needs to break below 1.8260, the daily low, to confirm further slides, back to 1.8104, this month low.”
Support levels: 1.8260 1.8210 1.8155. Resistance levels: 1.8350 1.8410 1.8465.