GBP/CAD At Support

GBP/CAD price is at a key area of 1.7060 support which aligns with the ascending trend line. Price will soon need to break one way or the other. A break of the ascending trend line and 1.7050 support would lead to further bearish movement and shorting opportunities however, a rejection to the bullish side would lead to potential long opportunities on the break of the 1.75230 resistance area.

First support level is expected at 1.7050. Bulls are expected to react to that level and push the price North to potential first target at 1.7120. On the other hand, if that level is broken, then GBP bears would jump in shorting the pair to a major target level at the 200SMA currently sitting at 1.6761.

Having in mind the negative effect the elections had on the Sterling, it seems more likely that the support will be broken as the pair continues to the 200SMA.

Chart: GBP/CAD D1