GBP/CAD Up 2 Pips in Last 4 Hours, 4 Day Up Streak Snapped; Pin Bar Pattern Appearing on Chart

GBP/CAD 4 Hour Price Update

Updated July 21, 2020 09:09 AM GMT (05:09 AM EST)

The choppiness in the recent four-hour candle price action of GBP/CAD continues; to start the current 4 hour candle, it came in at a price of 1.7116, up 2 pips (0.01%) since the previous 4 hours. Compared to its peers in the Forex, GBP/CAD gave its buyers a return that ranked 16th in terms of percentage change since the previous 4 hours.

GBP/CAD End of Day Recap

Updated 00:30 GMT (04:30 EST)

A moment of silence, please, for the end of GBP/CAD’s 4 day up streak; price ended the previous day down 11 pips (-0.07%) to finish the day at a rate of 1.71253. Relative to other instruments in the Forex asset class, GBP/CAD ranked 37th the previous day in terms of percentage price change. Here is a price chart of GBP/CAD.

GBP/CAD Technical Analysis

Notably, the current price of GBP/CAD is sitting close to its 20, 50, 100 and 200 day moving averages; moving average crosses often indicate a change in momentum, so this may be worth keeping an eye on. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 100 day average, which is 49.2 pips away. Trend traders will want to observe that the strongest trend appears on the 30 day horizon; over that time period, price has been moving up. It should be noted, though, that a trend in the opposite direction, going down, exists on the 90 day timeframe. For additional context, note that price has gone up 18 out of the past 30 days. Oh, and one last thing: if you trade off of candlesticks, note that we’re seeing pin bar pattern appearing here.

The View From Around the Web

Of note is that traders in aggregate have opinions on GBPCAD, with 3 buy signals on our radar and 6 sell signals. This imputes a buy/sell ratio of 0.5, which is bearish. As for the rationale, technical traders seem to be citing the appearance of a channel technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

đŸ’¡Hello traders,Hope you are having fantastic summer and also are finding time for trading as well :)I will really appreciate any likes and follows, that would help grow this channel….GBP/CAD has been inside of descending channel and now price is approaching this channels resistance line….We believe price will go down as price will not have enough momentum to break through this structure.