(Last Updated January 18, 2021)
Welcome to the news page for GBPCAD (GBPCAD). Below you’ll find our daily market updates. Here’s a technical and fundamental summary of where things currently stand:
| metric_name | reference_period | asset_name | asset_id | date | time | forecast | outcome |
|---|---|---|---|---|---|---|---|
| Canada Housing Starts | Dec 2020 | Canadian Dollar | CAD | 2021-01-18 | 13:15 GMT | 227K | |
| Canada Foreign Securities Purchases | Nov 2020 | Canadian Dollar | CAD | 2021-01-18 | 13:30 GMT | ||
| Canada Foreign Securities Purchases by Canadians | Nov 2020 | Canadian Dollar | CAD | 2021-01-18 | 13:30 GMT | ||
| United Kingdom BoE Haldane Speech | NA | British Pound | GBP | 2021-01-19 | 18:00 GMT | ||
| United Kingdom Inflation Rate MoM | Dec 2020 | British Pound | GBP | 2021-01-20 | 07:00 GMT | 0.2% |
On GBPCAD, there is currently an uptrend on the 90 and 30 day timeframes.
GBPCAD’s moving averages tell a multi-facted story about its trend. The 20 and 50 day averages are pointing upwards, suggesting a bullish trend, while the 100 and 200 day averages are pointing downward, suggesting a bearish trend on those timeframes. Ultimately, this suggests a bullish trend on shorter timeframes, compared to a bearish trend when observing more than 3 months of data. Moreover, it should also be noted that the 200 SMA just turned bearish today.
The chart below illustrates.
In terms of correlations over the past week for GBPCAD, it has demonstrated the strongest correlation with GBPAUD. Over the past 14 days, however, GBPNZD is the asset most correlated to GBPCAD. On the flip side, the asset least correlated with GBPCAD over the past week has been AUDCAD, but if we observe the prior two weeks, the asset least correlated with GBPCAD has been AUDNZD. See the chart below to observe the recent price action in GBPCAD versus those of assets it hasn’t been well correlated with.
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At the moment, GBPCAD’s rate is up 83 pips (0.48%) from the week prior. It’s been a feast for bulls operating on the weekly timeframe, as GBPCAD has now gone up 4 of the past 5 weeks. From a weekly perspective, the market looks fairly choppy; clear trends aren’t showing up on the 5, 10 and 20 week timeframes. Looking further out, the moving averages on the weekly timeframe suggest a choppiness in price, as the are all in a mixed alignment — meaning the trend across timeframes is inconsistent, indicating a potential opportunity for rangebound traders. GBPCAD’s weekly price action over the past 52 weeks can be seen via the chart below.
Monthly outlook: choppy. Clear trends not visible on the 24, 60 and 120 month timeframes.
Also of note is that on a 90 day basis price appears to be forming a base — which could the stage for it being a support/resistance level going forward.
As for the rationale, technical traders seem to be citing the appearance of a channel technical pattern.
Relative to other instruments in the forex asset class, gbp/cad ranked 3rd yesterday in terms of percentage price change.
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.
The price move occurred on volume — and we’re using the number of tick price changes as a proxy for volume — that was up 0.47% from the day prior, but down 10.82% from the same day the week before.
This move happened on fewer tick price changes which may be a proxy for volume, as yesterday’s total tick count was down 12.04% from the day before — and down 6.21% from the same day the week before.