GBP/CAD technical analysis
-
GBP/CAD trend should continue.
-
Yesterday’s candle low broke previous lows.
-
Pinbar rejection.
-
Trap trade.
-
1.5050 is intraday target.
MEGATREND MAs: Bearish
D1 chart GBP/CAD
1. Trendline touch.
2. Strong support at Q L4.
3. Trap entry.
4. Intraweek target.
5. Swing target.
The GBP/CAD is still bearish. Yesterday’s Bank of Canada decision was to hike 75 bps which was already discounted in price. However, the statement itself was hawkish as the BOC will continue to fight inflation strongly. That is a cue for further rate hikes and a sign of hawkishness.
The first entry I had was closed yesterday with +53 pips profit. Today the price retested the lower MA which called for another short entry as a trap trade. Ideal trap entry was at 1.5141. Keep in mind that yesterday's candle broke previous lows which is a sign of continuation. The intraday target is 1.5050 ( it’s almost a +100 pips intraday trade potential) with 1.4928 and 1.4676 as swing.
The analysis and the article presents Nenad's opinion. Remember, financial trading is highly speculative & may lead to the loss of your funds. Proper risk management is the Holy Grail of trading.
Recommended Content
Editors’ Picks
EUR/USD holds gains near 1.0650 amid risk reset
EUR/USD is holding onto its recovery mode near 1.0650 in European trading on Friday. A recovery in risk sentiment is helping the pair, as the safe-haven US Dollar pares gains. Earlier today, reports of an Israeli strike inside Iran spooked markets.
GBP/USD recovers toward 1.2450 after UK Retail Sales data
GBP/USD is rebounding toward 1.2450 in early Europe on Friday, having tested 1.2400 after the UK Retail Sales volumes stagnated again in March, The pair recovers in tandem with risk sentiment, as traders take account of the likely Israel's missile strikes on Iran.
Gold price defends gains below $2,400 as geopolitical risks linger
Gold price is trading below $2,400 in European trading on Friday, holding its retreat from a fresh five-day high of $2,418. Despite the pullback, Gold price remains on track to book the fifth weekly gain in a row, supported by lingering Middle East geopolitical risks.
Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in Premium
Bitcoin price shows no signs of directional bias while it holds above $60,000. The fourth BTC halving is partially priced in, according to Deutsche Bank’s research.
Geopolitics once again take centre stage, as UK Retail Sales wither
Nearly a week to the day when Iran sent drones and missiles into Israel, Israel has retaliated and sent a missile into Iran. The initial reports caused a large uptick in the oil price.