GBP/CAD Price Analysis: Bears attack 1.7450 on the break of 13-day-old rising trendline
|- GBP/CAD prints three-day losing streak with latest U-turn from 1.7506.
- One-week-old falling trend line, break of short-term support line favor sellers.
- Bulls will have a bumpy road even after the monthly high.
GBP/CAD drops to 1.7445 during the early Tuesday. The pair recently slipped below an ascending trend line from July 23 to portray a third day of losses. Additionally, a downward sloping trend line from July 31 and normal RSI conditions also weigh on the quote.
As a result, the monthly low near 1.7350 becomes the sellers’ first choice ahead of 50% Fibonacci retracement of July 16-31 upside, at 1.7304.
However, the pair’s downside past-1.7304 will be challenged by 1.7260 and 61.8% Fibonacci retracement near 1.7215.
Alternatively, an upside break of the immediate resistance line, at 1.7475 will attack the support-turned-resistance trend line, at 1.7500, during the fresh pullback.
However, the monthly top near 1.7590 and July 31 peak surrounding 1.7676 will stop the bulls prior to diverting them towards highs marked in May and late-March around 1.7705 and 1.7800 respectively.
GBP/CAD four-hour chart
Trend: Bearish
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