GBPCAD Down 4 Pips On Hourly Chart, 3 Day Up Streak Ended; Price Base in Formation Over Past 30 Days

Hourly Update

(Last Updated January 5, 2021 2:20 GMT)

Currently, GBPCAD’s rate is down -4 pips (-0.02%) from the hour prior. This is the 2nd straight hour GBPCAD has seen its price head down. If you’re a trend trader, consider that the strongest clear trend on the hourly chart exists on the 50 hour timeframe. Regarding moving averages, it should first be noted that price has crossed the 100 hour moving average, resulting in them so that price is now turning below it. The moving averages on the hourly timeframe suggest a choppiness in price, as the 20, 50, 100 and 200 are all in a mixed alignment — meaning the trend across timeframes is inconsistent, indicating a potential opportunity for rangebound traders.

GBPCAD End of Day Recap

Updated 00:30 GMT (04:30 EST)

After 3 up days, GBPCAD snaps its streak, falling 92 pips (-0.53%) over the past day to close at an exchange rate of 1.73274. Out of the 40 instruments in the Forex asset class, GBPCAD ended up ranking 31st for the day in terms of price change. Let’s take a look at price chart of GBPCAD.

GBPCAD

GBPCAD Technical Analysis

Coming into today GBPCAD is now close to its 20, 50, 100 and 200 day averages, located at 1.7206, 1.7238, 1.7205 and 1.7205 respectively, and thus may be at a key juncture along those timeframes. 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 50 day average, which is 89 pips away. Trend traders will want to observe that the strongest trend appears on the 14 day horizon; over that time period, price has been moving up. Price action traders in particular will want to note that the 30 day period appears to show price forming a base; this could indicate that a support/resistance level is developing. Or to simplify this another way, note that out of the past 30 days GBPCAD’s price has gone up 19 them.