"Key Resistance Test Ahead – GBPCAD at a Critical Point"

Aug 15

Technical Analysis Of GBPCAD

1. Trend Shift

Price broke out of a long-standing downward trendline, signaling a change in market sentiment from bearish to bullish. This breakout was confirmed by strong buying pressure from the demand zone (1.8250-1.8300).

2. Demand Zone Reaction

The demand zone acted as a strong support area where buyers stepped in aggressively. This created a base for the rally, pushing price through the trendline and initiating an upward momentum.

3. Resistance / SBR Level

The market is now testing a Significant Resistance Turned Support (SBR) level around 1.8700-1.8750. This is a historically strong supply area, as marked by previous price rejections.

4. First Target Achieved

The first target area near 1.8600 has already been reached after the breakout. Price has extended higher toward the major resistance zone, showing bullish strength.

5. Short-Term Outlook

Currently, price is stalling at resistance, and a short-term correction toward 1.8500-1.8440 is likely before deciding its next direction.

* Bearish Case: Strong rejection at resistance could trigger a deeper retracement.
* Bullish Case: A decisive breakout above 1.8750 may open the path toward higher highs.

Trading Bias

📉 Short-Term: Bearish correction possible.
📈 Medium-Term: Bullish continuation if support holds after pullback.

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Aug 21

Trade active

Aug 22

Trade closed manually