GBP/CAD Price Analysis: Bulls taking back control, significant correction on the cards
|- GBP/CAD is on the verge of a bullish correction.
- Bulls can target at least a 38.2% Fibo or a 50% mean reversion higher up.
As per the prior analysis, GBP/CAD Price Analysis: Bearish Head & Shoulders in the making, the cross melted to the downside and a correction could now be on the cards below the bearish structure.
Prior analysis
Daily chart
The Daily chart is in the process of making a topping pattern as a Head & Shoulders following a recent correction of the latest bearish impulse to the 61.8% Fibo.
A downside correction can therefore be expected.
Hourly chart
Live market, daily chart
Bulls can target a daily correction back to old support which has a confluence of the 50% mean reversion of the bearish impulse.
Hourly chart
The 8 open and 8 close moving averages are crossing in a bullish environment.
On a restest of resistance structure that would be expected to run support, the bulls can target the 61.8% Fibonacci confluence at structure ahead of the daily target.
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