The Pound Sterling has been trading in a channel up against its Canadian counterpart since September 2017. The currency pair has formed a new junior pattern during this period and can be observed on the chart.
The exchange rate is moving closer to the upper boundary of the junior channel and could be for a breakout. However, this movement is likely to encounter a resistance cluster set by the weekly R3 and the monthly R2 near 1.8055.
Technical indicators suggest that the overall market sentiment is bullish and it is likely to continue until it reaches the aforementioned resistance cluster.
