This pound pair made a fairly strong bounce off a solid long-term support zone and will now be setting its sights on the subsequent bullish targets.

Just how high can it go from here?

Take a look at these nearby inflection points!

GBP/CAD 4-hour Forex Chart by TradingView

Sterling didn’t exactly start this yr off on the correct foot, surging U.K. bond yields put the federal government’s spending plans in jeopardy, dragging GBP/CAD sharply towards the long-term floor on the 1.7500 handle.

Bulls were quick to defend this support zone, though, as falling crude oil prices eventually weighed on the correlated Loonie.

Can this pair hold on to its gains and go for more?

Keep in mind that directional biases and volatility conditions in market price are typically driven by fundamentals. Should you haven’t yet done your homework on the British pound and the Canadian dollar, then it’s time to ascertain out the economic calendar and stay updated on each day fundamental news!

Price is currently hitting a roadblock across the 100 SMA dynamic inflection point and R2 (1.7740) on its move up, possibly gearing as much as retreat back to near-term support areas or the range bottom at S1 (1.7510).

Still, keep your eyes peeled for sustained bullish momentum or long green candlesticks closing above the newest highs, as this might pave the way in which for a rally to the world of interest at R3 (1.7850) or all the way in which as much as the range resistance at R5 (1.8070).

Whichever bias you find yourself trading, don’t forget to practice proper risk management and stay aware of top-tier catalysts that might influence overall market sentiment!