The Pound is trading in two descending channels simultaneously against the Canadian Dollar. The senior pattern was formed late in July, while the junior one— when the rate formed its latest down-wave on August 31.
Technical indicators suggest that the rate might still appreciate in the upcoming hours, thus pushing towards the upper boundary of the junior channel and the 200-hour SMA. Its subsequent move, however, should no longer be towards the 1.62 area, but south down to the monthly and weekly S1 at 1.5850, at least.
As the rate failed to reach the lower bottom boundary of the senior channel during its latest down-wave, this expected depreciation might try to push the Pound towards the given line.
Technical indicators suggest that the rate might still appreciate in the upcoming hours, thus pushing towards the upper boundary of the junior channel and the 200-hour SMA. Its subsequent move, however, should no longer be towards the 1.62 area, but south down to the monthly and weekly S1 at 1.5850, at least.
As the rate failed to reach the lower bottom boundary of the senior channel during its latest down-wave, this expected depreciation might try to push the Pound towards the given line.
