There have been some quite significant one way market moves the past couple of days. Some trends are establishing while we see specific currencies establishing their direction. GBP conitnues to fall as CAD rises hence a gbpcad sell opportunity is available.
A quick analysis using our Currency Power indicator that shows how strong a currency is in the scale of 0 to 10 gives the above picture.
- USD and AUD became very strong
- CAD gaining power
- EUR,GBP ,NZD very weak
It is likely for EUR and NZD and even GBP to be oversold at this point to sell them.
GBPCAD Sell( 4 HOUR)
Looking at the Trend/Wave/Extreme mini indicator
- Trend and Wave Bars are down pointing a strong down move both long and short term
- Extreme bar is slightly oversold because the pair is resuming its down trend
- A strong down move
- An up correction of 127 pips that seems to have finished and the down trend resuming
Read about the Trend/Wave/Extreme system here