14 C
New York
Thursday, May 6, 2021

GBP/CAD Trades Within A Sideways Range

Must read

Gold subdued on firmer dollar; US jobs report in focus

Gold prices inched lower on Thursday due to a stronger dollar, while investors awaited the release of U.S. non-farm payrolls data for April due...

U.S. embassy in the doghouse in China after student visa post backfires

Sports & General13 minutes ago (May 05, 2021 10:30PM ET) BEIJING (Reuters) - The resumption of student visa applications at U.S. missions in China got...

As COVID-19 rages in India, scientist warns further waves ‘inevitable’

2/2 (C) Reuters. FILE PHOTO: Healthcare workers wearing personal protective equipment (PPE) stand outside a donning area at a COVID-19 care facility, amidst the spread...

BOJ policymakers agreed to focus on low rates as pandemic pain persists

Economy17 minutes ago (May 05, 2021 10:25PM ET) (C) Reuters. FILE PHOTO: A man wearing a protective mask walks past the headquarters of Bank of...

GBP/CAD traded higher yesterday, but hit resistance at 1.7310 and today, it pulled back. Overall, the rate has been trading within a sideways range, between 1.7175 and 1.7435, since March 12th, and thus, we would consider the short-term outlook to be neutral.

In order to start examining whether the bears have gained the upper hand, we would like to see a dip below the range’s lower bound, at 1.7175. This would confirm a forthcoming lower low and may pave the way towards the 1.7050 support zone, marked by the low of Dec. 21. If the bears are not willing to stop there, then a break lower could see scope for extensions towards the low of Dec. 15, at around 1.6945.

Looking at our short-term oscillators, we see that the RSI rebounded and now runs near its 50 line, while the MACD lies fractionally below zero, but slightly above its trigger line. Both indicators are near their equilibrium levels, detecting lack of directional momentum, which supports our neutral view.

On the upside, in order to start examining whether the bulls are in the driver’s seat, we would like to see a break above the upper bound of the range, at 1.7435, or even better above the 1.7480 territory, which provided strong support between Mar. 5 and 9. This may encourage the buyers to drive the battle towards the 1.7595 obstacle, marked by the high of Mar. 11, the break of which could extend the advance towards the high of Mar. 4, at 1.7678.

GBP/CAD 4-hour chart technical analysis

GBP/CAD 4-hour chart technical analysis

GBP/CAD Trades Within A Sideways Range

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

- Advertisement -

Latest article

Gold subdued on firmer dollar; US jobs report in focus

Gold prices inched lower on Thursday due to a stronger dollar, while investors awaited the release of U.S. non-farm payrolls data for April due...

U.S. embassy in the doghouse in China after student visa post backfires

Sports & General13 minutes ago (May 05, 2021 10:30PM ET) BEIJING (Reuters) - The resumption of student visa applications at U.S. missions in China got...

As COVID-19 rages in India, scientist warns further waves ‘inevitable’

2/2 (C) Reuters. FILE PHOTO: Healthcare workers wearing personal protective equipment (PPE) stand outside a donning area at a COVID-19 care facility, amidst the spread...

BOJ policymakers agreed to focus on low rates as pandemic pain persists

Economy17 minutes ago (May 05, 2021 10:25PM ET) (C) Reuters. FILE PHOTO: A man wearing a protective mask walks past the headquarters of Bank of...

Liberty Global Earnings, Revenue Beat in Q1

Stock Markets22 minutes ago (May 05, 2021 10:20PM ET) (C) Reuters. Liberty Global Earnings, Revenue Beat in Q1 Investing.com - Liberty Global (NASDAQ:LBTYA) reported on Wednesday...