GBPCAD is a candidate for a long term trend trade. The UK's economy is firing on all cylinders and benefiting greatly from the ECB's QE cannon while Canada's economy is just coming to the grips with the collapse of the commodity boom. The UK seems poised to raise rates while Canada may have to slash and devalue in order to cope with a serious recession.
With China falling apart and cable at the bottom of it's range in the 1.50s this looks like a an opportune spot to get on board. The trick is finding the right spot without getting your stop blown...
GBPCAD's big .382 fib is at 1.9375 and incorporates the 1998 high with the 2010 low. This looks like great spot.
I'm using a 100 pip stop and hope to add to this trade over the coming months. I will keep you updated.
With China falling apart and cable at the bottom of it's range in the 1.50s this looks like a an opportune spot to get on board. The trick is finding the right spot without getting your stop blown...
GBPCAD's big .382 fib is at 1.9375 and incorporates the 1998 high with the 2010 low. This looks like great spot.
I'm using a 100 pip stop and hope to add to this trade over the coming months. I will keep you updated.