GBPCAD Short position in the making
Context:
The GBPCAD dropped more than 10% from May 2019 till August 2019.
The pair then recovered almost all its losses, just over 9% from September 2019 to 1st week in December 2019.
Price:
The price is now at an historic monthly resistance level and is also struggling to totally break free out of the uptrend resistance trend line which started from a high that was formed in July of 2019.
Politics:
Price behavior imply that the pair is oversold, and a lot of weakness has already set in. Meaning, the professionals are busy building short positions at the historic resistance support line and monthly resistance level. Brexit vote today might just be the tipping point to assist the professionals with their already prepared short positions to come alive.
Action to consider:
Short positions with the necessary money management rules in place is likely to yield good results.
The GBPCAD dropped more than 10% from May 2019 till August 2019.
The pair then recovered almost all its losses, just over 9% from September 2019 to 1st week in December 2019.
Price:
The price is now at an historic monthly resistance level and is also struggling to totally break free out of the uptrend resistance trend line which started from a high that was formed in July of 2019.
Politics:
Price behavior imply that the pair is oversold, and a lot of weakness has already set in. Meaning, the professionals are busy building short positions at the historic resistance support line and monthly resistance level. Brexit vote today might just be the tipping point to assist the professionals with their already prepared short positions to come alive.
Action to consider:
Short positions with the necessary money management rules in place is likely to yield good results.
Comment:
Price retraced back to the 360 level after a sharp sell off from the level at which the idea was first published. This is a second ideal short entry area. Remember to apply applicable money management rules.