ADVFN Logo

We could not find any results for:
Make sure your spelling is correct or try broadening your search.

Trending Now

Toplists

It looks like you aren't logged in.
Click the button below to log in and view your recent history.

Hot Features

Registration Strip Icon for default Register for Free to get streaming real-time quotes, interactive charts, live options flow, and more.

The ‘Dark clouds' Are Gathering Above GBP/CAD

Share On Facebook
share on Linkedin
Print

Here’s a quick follow-up on our previous analysis of GBP/CAD after a second bearish pattern has formed below key resistance.

On the 13th September we outlined GBP/CAD’s potential for a large drop, based upon an established bearish channel and 10-week declines within it. The bearish channel not only remains intact but has also been reinforced by another dark cloud clover pattern. Furthermore, the high of the 2-day reversal sits marginally beneath 1.7190 to provide a lower high and double top pattern. Given we are now testing yesterday’s lows, we’re keeping a close eye for its next break lower.

We previously noted support might be found at the 20-day average for “another attempt to move higher”. Whilst this did turn out to be the case, we still favour an eventual downside break, given the strength of the bearish trend reversal patterns beneath key resistance zone.

However, if bullish momentum returns we’ll keep a close eye on the 1.7169/90 resistance zone as a break above it invalidates the bearish channel and warns of a trend reversal. In turn it would likely make a compelling long signal to counter-trend traders, with the 1.7479 and 1.7773 highs likely to become targets.

 

Faraday Research offers real time FX and Equity trade signals from qualified analysts. Click here to try us free.

 

CLICK HERE TO REGISTER FOR FREE ON ADVFN, the world's leading stocks and shares information website, provides the private investor with all the latest high-tech trading tools and includes live price data streaming, stock quotes and the option to access 'Level 2' data on all of the world's key exchanges (LSE, NYSE, NASDAQ, Euronext etc).

This area of the ADVFN.com site is for independent financial commentary. These blogs are provided by independent authors via a common carrier platform and do not represent the opinions of ADVFN Plc. ADVFN Plc does not monitor, approve, endorse or exert editorial control over these articles and does not therefore accept responsibility for or make any warranties in connection with or recommend that you or any third party rely on such information. The information available at ADVFN.com is for your general information and use and is not intended to address your particular requirements. In particular, the information does not constitute any form of advice or recommendation by ADVFN.COM and is not intended to be relied upon by users in making (or refraining from making) any investment decisions. Authors may or may not have positions in stocks that they are discussing but it should be considered very likely that their opinions are aligned with their trading and that they hold positions in companies, forex, commodities and other instruments they discuss.

Leave A Reply

 
Do you want to write for our Newspaper? Get in touch: newspaper@advfn.com