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GBP/CAD never buck major trend (on 1Y lows) - more slumps likely

FX:GBPCAD   British Pound/Canadian Dollar
128 0 4
In last five months, GBPCAD             has shown declines from the highs of 2.0949 to the current 1.8185 levels, (i.e. almost 13.19% and a fresh 1-year lows).

The pair has consistently been below 21DMA ever since mid of last January, that is when shooting occurred at peaks.

Hence, it has been testing DMA curves as a stiff resistance. Despite the attempts of upswings the current prices have well below 21DMA.

Leading oscillators have been converging to the prevailing downswings, the current RSI is trending below 31 and Stochs have halted in oversold territories but no traces of buying indications.

MACD remained below shows a bearish crossover, which is one more downtrend continuation signal.

Downtrend seems intact as the both leading and lagging indicators converge the ongoing slumps on monthly charts.

Since, BoE maintains the key interest rate unchanged at 0.50% which was quite expected, we are not seeing any dramatic intraday swings on either ways in abrupt.

Although, the intraday bounces have touched upto 1.8190 levels, the trend has managed to push below 21DMA again and been in stiff at that level but one can get benefitted from the boundary binary options as the leading indicators suggest contraction in ongoing buying momentum .

Thus at spot ref: 1.8160, it is good to buy boundary binary options with upper strikes at 1.8200 and lower strikes at 1.8059 for minimum targets of 30-40 pips on either sides, using 1H expiries to fetch desired results.

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