GBP/CAD may rise 59 - 87 pips

Our pivot point is at 1.7953.

Our preference

The upside prevails as long as 1.7953 is support.

Alternative scenario

The downside breakout of 1.7953 would call for 1.7905 and 1.7877.

Comment

The RSI is trading above 70. This could mean that either the pair is in a lasting uptrend or just overbought and that therefore a correction could shape (look for bearish divergence in this case). The MACD is positive and above its signal line. The configuration is positive. Moreover, the price is above its 20 and 50 period moving average (respectively at 1.7963 and 1.7956).

Supports and resistances

1.8136 **

1.8108 *

1.8079 **

1.8051

1.7992 last

1.7972

1.7953 **

1.7905 *

1.7877 **

Number of asterisks represents the strength of support and resistance levels.