Cables is taking advantage of the loonies weakness in H4 and daily time frame. The pair advanced above its daily pivot today with a bullish impulse reaching for its monthly resistance two 1.73804 and weekly resistance one 1.74092. WR2 is our critical zone for expecting a dovish momentum taking over the ball for the pair seems to be inside a rising wedge which might be just a delusional psychological level to get the retail fishes shift their positions onto buying. Somewhat this theory can be supported keeping the elliot wave structure under H4 in regards but with keen observation - the 5 wave formation is about to reach its climax with being completed at our critical price action zone i.e 1.74010. The daily time frame is suggesting that the bigger trend is still bearish and the current market scenario can be proven being part of a correction of greater degree as witnessed on 20th April 2021. 

BULLISH AND BEARISH OPPORTUNITIES/ CONDITIONS :

Our positioned Fibbonacci retracement levels are very precise about the market sentiments - providing exactly the perfect amount of reversal required for confirmation of continuation of the bigger trend i.e dovish. We can see that the current market scenario is riding its way towards our 61.8% fibb golden ratio which will be our desired selling zone to position our trades. Somewhat the same as what we experienced on 20th April - will be seen again in shape of correction of higher degree and then GBPCAD will fall all the way down to its monthly pivot i.e 1.71010. This will mark our first take profit or temporary bearish destination and take our profits. For further fractal confirmation, we will be paying close attention to EMA50 and 200 for breakouts, which will confirm our theory of bearish trend continuation. The final destination for taking all the profits from selling GBPCAD will be 1.7000 after which we will recount the waves and provide the further structure formation and mood. 

GBPCAD D1

Jul 15 2021