Whoa, GBP has been amazing to trade and the direction changed with Theresa May’s decision to hold an election in June. GBPCAD has reversed 5.200p lower in just over a year and while this does not mean the sell-off has ended, last week’s close above 1.7540 was a sure sign that the bulls are back. The 1.7540 area dates back to 2008 but most recently it attracted bulls in Sept and Nov 2014. We have a weekly and monthly close above 1.7540 (Friday’s close). A pull-back to the 1.7540 price would be ideal, but with the bullish momentum it won’t be a surprise not to see this happening and price grinding higher. If it happens and today’s (Monday) session remains below Friday’s high at 1.7715 we will have in inside bullish bar to work with and over 400 pips to the next major resistance at 1.8110. Note that there are economic news scheduled for tomorrow (Tues) and Thursday that may affect both these currencies.

GBPCAD - 570P ON THE HORIZON

Source: QUEEN OF POUND

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