- GBP/CAD is extending weakness for 7th straight week, bias lower.
- Shrinking expectations of a rate hike by the BoE at the May meeting keep GBP subdued.
- While on the other side, the Canadian Dollar has gathered traction following the GDP release.
- Canadian GDP expanded at a monthly 0.4% during February and 3.0% over the last twelve months, both prints coming in above initial expectations.
- Technical indicators are biased lower on daily charts. The pair has broken below 100-DMA.
- Price currently holds support at 38.2% Fib at 1.7430, break below will see further weakness.
- Next major support lies at 110W EMA at 1.7372 ahead of 200-DMA at 1.7090.
- On the flipside, 100-DMA at 1.7597 is immediate resistance, break above will negate bearish bias.
Support levels - 1.7430 (38.2% Fib), 1.74, 1.7372 (110W EMA), 1.7090 (200-DMA)
Resistance levels - 1.7597 (100-DMA), 1.7645 (5-DMA), 1.77
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