GBP/CAD regains 1.8400 after hitting fresh monthly lows

The GBP/CAD cross fell to a fresh 5-week low of 1.8349, but closed the day flat above 1.8410, as the forex market was all about the greenback this Thursday, which advanced evenly against the pound and the Canadian dollar.

GBP/CAD technical outlook

"Despite the neutral close, the risk remains towards the downside, given that an early advance towards the 1.8500 level was quickly reverted. Short term, the 1 hour chart presents a neutral stance, with the price confined to a tight range around a horizontal 20 SMA, and the technical indicators heading nowhere around their mid-lines,” said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart, the 20 SMA maintains its bearish slope far above the current level, whilst the technical indicator consolidate well below their mid-lines, with the RSI around 27, in line with the shorter term outlook.”

Support levels: 1.8350 1.8300 1.8240 Resistance levels: 1.8465 1.8520 1.8580.