GBP/USD started a fresh decline below the 1.2320 zone. USD/CAD is rising and might aim for more gains above the 1.4500 resistance.
Important Takeaways for GBP/USD and USD/CAD Analysis Today
- The British Pound started another decline from the 1.2320 resistance zone.
- There is a short-term bearish trend line forming with resistance at 1.2205 on the hourly chart of GBP/USD at FXOpen.
- USD/CAD is showing positive signs above the 1.4400 support zone.
- Â There is a key bullish trend line forming with support at 1.4420 on the hourly chart at FXOpen.
GBP/USD Technical Analysis
On the hourly chart of GBP/USD at FXOpen, the pair struggled to continue higher above the 1.2320 resistance zone. The British Pound started a fresh decline and traded below the 1.2270 support zone against the US Dollar, as discussed in the previous analysis.
The pair even traded below 1.2250 and the 50-hour simple moving average. Finally, the bulls appeared near the 1.2100 level. The recent swing low was formed at 1.2160 and the pair is now consolidating losses.
Immediate resistance on the upside is near a short-term bearish trend line at 1.2205. The first major resistance is near the 1.2230 zone and the 50% Fib retracement level of the downward move from the 1.2305 swing high to the 1.2160 low.
The main hurdle sits at 1.2270 and the 76.4% Fib retracement level of the downward move from the 1.2305 swing high to the 1.2160 low. A close above the 1.2270 resistance might spark a steady upward move.
The next major resistance is near the 1.2305 zone. Any more gains could lead the pair toward the 1.2320 resistance in the near term.
Initial support on the GBP/USD chart sits at 1.2160. The next major support sits at 1.2140, below which there is a risk of another sharp decline. In the stated case, the pair could drop toward 1.2100.
USD/CAD Technical Analysis
On the hourly chart of USD/CAD at FXOpen, the pair formed a strong support base above the 1.4300 level. The US Dollar started a fresh increase above the 1.4345 resistance against the Canadian Dollar.
The bulls pushed the pair above the 1.4380 and 1.4400 levels. The pair cleared the 50-hour simple moving average and climbed above 1.4450. A high was formed at 1.4485 and the pair recently corrected some gains.
There was a move toward the 23.6% Fib retracement level of the upward move from the 1.4302 swing low to the 1.4485 high. Initial support is near the 1.4420 level.
There is also a key bullish trend line forming with support at 1.4420. The next major support is near the 1.4395 level or the 50% Fib retracement level of the upward move from the 1.4302 swing low to the 1.4485 high.
The main support sits near the 1.4345 zone on the same USD/CAD chart. A downside break below the 1.4345 level could push the pair further lower. The next major support is near the 1.4300 support zone, below which the pair might visit 1.4250.
If there is another increase, the pair might face resistance near the 1.4485 level. A clear upside break above 1.4485 could start another steady increase. The next major resistance is the 1.4540 level.
A close above the 1.4540 level might send the pair toward the 1.4580 level. Any more gains could open the doors for a test of the 1.4620 level.
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