GBP/CAD 1H Chart: Channel Up

There is potentially a bullish channel emerging on the hourly chart of GBP/CAD, as the currency pair was able to find strong support in the face of 1.82. If this assumption is true, the Sterling should decouple from the lower trend-line and start moving towards the Jul 14 high at 1.8418, then towards the upper trend-line of the pattern at 1.8471. On the other hand, if the bulls fail to push the price North, the immediate support is going to be the 200-hour SMA at 1.8285, followed by the daily S1 at 1.8261 and daily S2 together with Jul 11 low at 1.82. In the meantime, the sentiment of the market is distinctly bearish—71% of open positions are short.