The Pound Sterling has declined substantially against the Canadian Dollar during the past one month. This bearish movement has pressured the exchange rate towards the lower boundary of a dominant ascending pattern.
During the morning hours of Monday’s trading session, the GBP/CAD currency pair was bouncing between a resistance formed by the 55– hour simple moving average and a support cluster set by the combination of the weekly and the monthly PPs near the 1.72 area.
Everything being equal, a breakout through the bottom border of the dominant ascending channel could be expected within the following trading sessions. Meanwhile, on the daily time-frame, technical indicators flash strong sell signals.
