Bears Overwhelmed on GBP/CAD from 1.7567

The Great Britain pound versus the Canadian dollar currency pair seems to be in bullish hands. Are the bears really out of the game — for the time being?

Long-term perspective
After etching the 1.7674 high, the price fell under the 1.7567 solid resistance area, following which — as the bears rendered the price action as a false piercing — it declined to the 1.6810 low — not before one last bullish attempt to steer the situation, as 1.7216 highlights.
The steep decline was answered with an ascending trend, for the bulls were expecting that such form of an appreciation would cement their perspective for a sustained rise.
But the bulls did not even come close to revisiting 1.7567, as the intermediary level of 1.7445 — heavily defended by the bears — rotated the price, leaving behind the 1.7469 high as part of yet another false piercing.
The fall came to a stop at 1.6768, from where the bulls — determined — set in motion another rise. In this new attempt, the bulls were met again with a lot of resistance around the 1.7445 area but also with support from 1.7285 — this aided their agenda, as 1.7445 was finally cleared, thus opening the door to the “old” 1.7567 zone.
Just like when the bulls were attempting to conquer 1.7445, the bears stepped in and tried to send the price toward the south, only that this time the bulls ironed out the bears — as the 1.7249 low points out.
So, while the price oscillates above 1.7567, either one of the following two scenarios may unfold. In the first one, the price throws back to 1.7567 to validate it as support — this could be a bearish opportunity to put the price under the level, which sets the path for 1.7445 — to, then, continue proceeding to 1.7705, while in the second one, the price simply continues to climb, targeting the same 1.7705.

Short-term perspective
From the 1.7199 low, the bulls rallied until the 1.7640 high, thus just above the firm area of 1.7628.
From there, a sharp correction took shape, sending the price to the 1.7349 low, a hair away from the 1.7337 intermediary support level.
A clear appreciation materialized, one that set the price above 1.7487. Once there, slowly but surely, the bulls drove the prices higher.
As they reached the main 1.7628 resistance, if the bulls are unable to conquer it, then 1.7487 may be checked once more.
However, if the price stabilizes above 1.7628, then 1.7701 is in the cards.

Levels to keep an eye on:

D1: 1.7567 1.7445 1.7705
H4: 1.7628 1.7487 1.7701

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Original from: www.earnforex.com