GBP/CAD

The Pound to Canadian Dollar (Loonie) rose more than any other G10 Sterling pair last week, however, we now look to the charts for guidance on the week ahead.

The Pound to Canadian Dollar pair has been moving roughly sideways since it peaked in mid-March.

The Pound to Canadian Dollar pair fell on Wednesday after the Bank of Canada (BOC) revised up its growth forecasts at its April rate meeting.

GBP/CAD had been rising quite strongly at the end of March after a long period of sideways consolidation, however, it recently pulled back after peaking at 1.6893 at the end of March, will the uptrend resume or will we see more downside?

The Pound has risen sharply versus the Canadian Dollar in recent weeks as Hard Brexit fears have eased.

The Pound was rising strongly against the Canadian Dollar until it stalled this week after concerns about the triggering of article 50, led to a pull-back, which, however, then reversed after the consilatory tone of the initial communications between the two parties gave hope of a soft-landing.

The US Dollar tends to weaken and Oil tends to rise in the month of April, according to research by UBS.

The Pound to Canadian Dollar (Loonie) has broken above the 200-day moving average signalling a possible reversal of the long-term bearish trend assuming it can hold onto the break in the coming days.

 GBP/CAD has broken clearly out of its extended sideways range and moved higher, reaching the current 1.6731 highs.

 GBP/CAD decides in which direction to move after long deliberation.

 The Canadian Dollar rose sharply after Canadian retail sales rose by 2.2% compared to the month before

The Pound to Canadian Dollar exchange rate has been consolidating within a fairly narrow range between 1.62 and 1.65 for several weeks now, but now it is starting to show signs of directional activity.

 The price of crude oil fell 9% last week as inventory data showed stockpiles rising whilst data from futures exchanges showed a record high number of long or buy positions.

Concerning the near-term outlook, the exchange rate has now formed a possible double bottom reversal pattern at the lows which could signal a reversal of the downtrend if it results in activation by way of a break higher.

 We look to the weekly chart form inspiration on the Pound to Canadian Dollar Pair, which has just broken above a key long-term trendline in a bullish move higher.

 The Canadian Dollar is expected to weaken versus all its major trading partners over the next two years, according to analysts’ predictions at Investment Bank CIBC Capital markets.

The GBP/CAD pair continues to move sideways under a trendline in the 1.65s forming a bull flag pattern in the process which is likely to breakout higher and rise roughly the same distance as the length of the ‘pole’.

 The pair has been pushing up against the trendline in the 1.65s and although it has been repulsed following successive attempts to break above, we still see a slight bias towards more upside and therefore an eventual break higher emerging.

GBP/CAD continues to move up and down in a sideways range after an initial bullish rally from off of the mid-January lows.