GBPCAD is in a very clear sideways channel with well defined support and resistance levels, tested multiple times
Hence we are looking to short the pair when the price is at the resistance level, and take profit when price is at the support level
What are hedge funds and institutions doing?
COT reports
GBP
Long change ______ Short change
-9385 ____________ -3494
Bearish sentiment
CAD
Long change ______ Short change
+194 _____________ -7122
Bullish sentiment
These are not the perfect numbers we would have liked to see, but they are not bad either, so knowing that the big money aren't going completely against us, we can be more comfortable with this trade idea
Hence we are looking to short the pair when the price is at the resistance level, and take profit when price is at the support level
What are hedge funds and institutions doing?
COT reports
GBP
Long change ______ Short change
-9385 ____________ -3494
Bearish sentiment
CAD
Long change ______ Short change
+194 _____________ -7122
Bullish sentiment
These are not the perfect numbers we would have liked to see, but they are not bad either, so knowing that the big money aren't going completely against us, we can be more comfortable with this trade idea