GBPCAD Higher
Trying GBPCAD higher here.
I think the narrative for CAD is changing, people were buying the CAD on a strong economy, good trade balance and a hawkish BoC. oil is lower now, commodities are lower, there's global tightening conditions which should mean worse economic performance going forward and the CAD economy has recently been a little worse in terms of economic data. I also think the BoC will be becoming a little more dovish going forward. If we look at CAD rates we can see they were outperforming others but are now being outperformed.
GBP makes sense to play it against i think as the market is extremely short on the pair on GBP being a poor narrative at the moment. There's a couple nice hammers on the daily chart that allow us to play it out with a good stop loss.
rate differentials are suggesting way higher which i think will slowly play out.
not trading/investment advice, feedback welcome!
I think the narrative for CAD is changing, people were buying the CAD on a strong economy, good trade balance and a hawkish BoC. oil is lower now, commodities are lower, there's global tightening conditions which should mean worse economic performance going forward and the CAD economy has recently been a little worse in terms of economic data. I also think the BoC will be becoming a little more dovish going forward. If we look at CAD rates we can see they were outperforming others but are now being outperformed.
GBP makes sense to play it against i think as the market is extremely short on the pair on GBP being a poor narrative at the moment. There's a couple nice hammers on the daily chart that allow us to play it out with a good stop loss.
rate differentials are suggesting way higher which i think will slowly play out.
not trading/investment advice, feedback welcome!
Note
coming out for 0.2% win ahead of BoE
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.