GBP/CAD Long opportunity
We waiting for the price to consolidate in the area between the blue and the yellow line. Then looking for a long opportunity, we believe that the fact that CAD will increase the overnight rate to 2.25% (1%) more than the UK could give a push in our direction. Be aware that the market recently reacted unexpectedly due to the high level of inflation. If you check what happened last night during the NZD cash rate you will notice a quick droop just before the news before changing dramatically in direction.
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