GBP/CAD has broken above the ascending triangle, which is now providing support in the 1.7100/1.7060 area.
GBP/JPY: trading on Brexit
BUY 141.60; TP 143.80; SL 141.35
SELL 137.80; TP 135.80; SL 138.10
What is the best way to bet on the positive outcome of the Brexit deal? Technically, the GBP has bullish potential versus the JPY. GBP/JPY is testing levels above the 50-week MA at 139.45. On the upside, there’s no strong resistance until 144.00 (100-week MA and the resistance line from the start of 2018). Taking into account the high volatility, we’ll consider long positions above 141.55 (50% retracement of the 2018-2019 decline). In the negative scenario, the fall below 138.60/00 (200-day MA/38.2% Fibo), GBP/JPY may slide to 135.50 (September highs).
EUR/NZD has been descending since the middle of October when it recoiled down from the resistance line connecting 2015 and 2018 highs.
EUR/CAD has formed a couple of higher lows since October. The pair has managed to overcome the 50- and the 100-day MAs at 1.4588 and 1.4640 respectively.
Platinum is likely to bounce back down after it reaches the local resistance level.