GBP/CAD consolidates near 1-week highs

By FXStreet FXStreet (Córdoba) – The GBP/CAD cross advanced to a 1-week high on Tuesday, as the Canadian dollar weakened on the back of disappointing domestic GDP readings.

Canadian GDP contracted 0.5% in September, while the annualized reading for the third quarter resulted at 2.3%. GBP/CAD peaked at 2.0179 immediately after data released, but lost momentum and settled in a range just below over the last hours.

GBP/CAD levels to watch

“The short term picture for the cross shows that the price has advanced above its moving averages, with the 20 SMA heading higher around 2.0130, providing an immediate support, although the technical indicators have turned slightly lower, but remain above their mid-lines”, said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart, the price is well above its 20 SMA, while the technical indicators consolidate above their mid-lines, favoring additional advances, particularly on an extension above the 2.0180 level”.

Support levels: 2.0130 2.0100 2.0065. Resistance levels: 2.0180 2.0240 2.0310.
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Source:: FX Street