The Great Britain pound versus the Canadian dollar currency pair seems to be willing to go higher. Will the bears let it do so?
After the double bottom defined by the 1.6750 and 1.6769 lows, respectively, the price started an ascending movement that managed not only to touch the firm level of 1.7567 but also to pierce it.
To the bullish disappointment, the pierce ended as being a false one, as the price retraced under the level, noted the 1.7216 low, validated 1.7567 as resistance, and plummeted close to the starting point, at the 1.6810 low.
But the bullish resilience manifested, as the price recovered relatively quickly. However, the area pertaining to the former low (1.7216), the intermediate level of 1.7285, respectively, gives the bulls some hard time, as their first attempt ended up only with a high printed slightly above it — at 1.7294.
What followed was yet another fall. Nevertheless, the bulls have all the reasons to be glad, as they started a new appreciation from the higher low of 1.6906 and succeeded in noting the 1.7322 higher high.
So, as long as the bulls keep up this phase, 1.7445 is just a matter of time.
So, the first possible scenario is the one in which 1.7285 gets conquered by the bulls. Once validated as support, the level opens the door to 1.7445. The second scenario allows a consolidation phase just under 1.7285, which later on would fuel a convincing appreciation that targets the same 1.7445.
On the flip side, if 1.7322 remains resistance, then 1.7132 is the next bearish objective.
From the 1.7294, after the price was not able to get above the firm resistance area of 1.7244, the bears joined the scene, sending the price to the solid support of 1.6965.
From there, the bulls took over, driving it above the intermediary level of 1.7094 and, this time, above 1.7244.
If the bulls are able to keep the price above 1.7244, then 1.7337, followed by 1.7487 — not highlighted on the chart — are the next targets.
However, if the price falls under 1.7244, then the bears would likely send it to1.7094.
Levels to keep an eye on:
D1: 1.7285 1.7445 1.7132
H4: 1.7244 1.7337 1.7487 1.7094
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