February 23, 2008
Current: 1.9931
GBP/CAD shows a good tendency to move in channels. In the last part of the chart, we have started a channel line by joining the two minor lows at A and C and then putting a parallel line on the top of B. Fib Extensions are taken for the move from A to B (defining the potential range of the channel). We see that the 138.2% extension closely coincides with the channel line as well as the long term down trend line in the pair, hopefully providing a good resistance point. On the basis of this outlook, here is what I entered in the pair:
Short at 1.9979, Stop at 2.0045 (just above the 150% extension level), targeting 1.9800.
Any Comments are welcome, please
Current: 1.9931
GBP/CAD shows a good tendency to move in channels. In the last part of the chart, we have started a channel line by joining the two minor lows at A and C and then putting a parallel line on the top of B. Fib Extensions are taken for the move from A to B (defining the potential range of the channel). We see that the 138.2% extension closely coincides with the channel line as well as the long term down trend line in the pair, hopefully providing a good resistance point. On the basis of this outlook, here is what I entered in the pair:
Short at 1.9979, Stop at 2.0045 (just above the 150% extension level), targeting 1.9800.
Any Comments are welcome, please
