GBP/CAD fails to sustain gains, back below 2.0200

FXStreet (Córdoba) – The GBP/CAD cross advanced up to 2.0304, but erased all of its intraday gains afterwards, mostly led by Pound’s strength/weakness. The British Pound enjoyed a bout of buying early Europe, after the release of the final October manufacturing PMI showing a strong growth in the sector at the beginning of the fourth quarter. The Canadian dollar, on the other hand, traded uneventfully, following lackluster oil movements.

GBP/CAD technical perspective

“Technically the 1 hour chart shows that the price is now below its 20 SMA, while the technical indicator hover around their mid-lines, lacking directional strength. In the 4 hours chart, however, the 4 hours chart shows that the price held above its 20 SMA, whilst the technical indicators present a neutral stance, giving no clues on what’s next for the cross”, said Valeria Bednarik, chief analyst at FXStreet.

Support levels: 2.0160 2.0100 2.0040. Resistance levels: 2.0200 2.0245 2.290.

The GBP/CAD cross advanced up to 2.0304, but erased all of its intraday gains afterwards, mostly led by Pound’s strength/weakness. The British Pound enjoyed a bout of buying early Europe, after the release of the final October manufacturing PMI showing a strong growth in the sector at the beginning of the fourth quarter. The Canadian dollar, on the other hand, traded uneventfully, following lackluster oil movements.

(Market News Provided by FXstreet)