Technical Analysis – GBPCAD sustains positive sentiment despite pull back
March 11, 2020 3:26 pm
GBPCAD has been heading back north, after failing to close below the 1.7633 barrier, that being the 38.2% Fibonacci retracement of the up leg from 1.6969 to 1.8045. The improvement in the pair is following the mid-Bollinger band and is attempting to surpass the 23.6% Fibo of 1.7790, backed by the upward sloping simple moving averages (SMAs).
In the technical oscillators, the MACD has fallen below its red trigger line but is still some distance in the positive region. However, the RSI is strengthening in the bullish zone while the upward sloping %K and %D lines are heading for the 80 level, suggesting that further appreciation could still unfold.
If buyers manage to push past the immediate resistance from the 23.6% Fibo of 1.7790 – coinciding with the December 13 peak – next to test the climb is the 1.7917 high. With a more sustained ascent, the 1.7982 high from 26 April 2018 and upper Bollinger band overhead, could challenge the pair’s attempts to reach the nearly 2-year high of 1.8045 and nearby tops of 1.8055 and 1.8092, also from April of 2018.
If sellers retake control and move under the mid-Bollinger band, initial support from steering back down could come from the 38.2% Fibo of 1.7633 and the 1.7603 low. Moving down, a key area from the lower Bollinger band around 1.7525 till the 50.0% Fibo of 1.7507, as well as the 1.7478 support beneath, could halt further declines towards the 50-period SMA and 61.8% Fibo of 1.7379.
Overall, the very short-term bias is bullish above 1.7603 and more importantly above 1.7478.
GBPCAD has been heading back north, after failing to close below the 1.7633 barrier, that being the 38.2% Fibonacci retracement of the up leg from 1.6969 to 1.8045. The improvement in the pair is following the mid-Bollinger band and is attempting to surpass the 23.6% Fibo of 1.7790, backed by the upward sloping simple moving averages (SMAs).
In the technical oscillators, the MACD has fallen below its red trigger line but is still some distance in the positive region. However, the RSI is strengthening in the bullish zone while the upward sloping %K and %D lines are heading for the 80 level, suggesting that further appreciation could still unfold.
If buyers manage to push past the immediate resistance from the 23.6% Fibo of 1.7790 – coinciding with the December 13 peak – next to test the climb is the 1.7917 high. With a more sustained ascent, the 1.7982 high from 26 April 2018 and upper Bollinger band overhead, could challenge the pair’s attempts to reach the nearly 2-year high of 1.8045 and nearby tops of 1.8055 and 1.8092, also from April of 2018.
If sellers retake control and move under the mid-Bollinger band, initial support from steering back down could come from the 38.2% Fibo of 1.7633 and the 1.7603 low. Moving down, a key area from the lower Bollinger band around 1.7525 till the 50.0% Fibo of 1.7507, as well as the 1.7478 support beneath, could halt further declines towards the 50-period SMA and 61.8% Fibo of 1.7379.
Overall, the very short-term bias is bullish above 1.7603 and more importantly above 1.7478.
Related Posts: