GBP/CAD Trade Analysis & Signal 25/03/2024.

Analysis:

1. Downtrend Structure: The market is currently forming lower highs and lower lows, indicating a bearish trend.

2. Supply Zone: There is a highlighted red zone acting as resistance, where price has previously rejected multiple times.

3. Descending Channel: The price is respecting a downward sloping trendline, confirming a bearish channel.

4. Bearish Rejection: The price seems to be rejecting the resistance area again, signaling a potential continuation downward.

Trade Setup: Sell GBP/CAD

✅ Entry: Wait for a retest of the 1.7100 - 1.7120 resistance zone and bearish confirmation (e.g., bearish engulfing, rejection wicks).
🚫 Stop Loss: Above the red zone, around 1.7150 (to avoid false breakouts).
🎯 Take Profit: Near the lower boundary of the channel, around 1.6900 - 1.6920.

🔔 Confirmation:

• Look for bearish candlestick patterns (e.g., engulfing, shooting star) at resistance.

• Ensure there is no strong bullish momentum breaking above the resistance zone.