Yesterday’s trade saw GBP/CAD within the range of 1.7862-1.7991. The pair closed at 1.7905, losing 0.39% on a daily basis.
At 7:16 GMT today GBP/CAD was down 0.21% for the day to trade at 1.7939. The pair touched a daily low at 1.7899 during early Asian trade.
Fundamental view
United Kingdom
BoE Lending Conditions Report
At 8:30 GMT Bank of England (BoE) will publish its report on lending conditions in the United Kingdom during the three months through September. It is based on a survey of banking and non-banking institutions, which provide information regarding secured and not secured loans to households, small and medium enterprises and corporations outside financial sector. Respondents in the survey are asked about their opinion on conditions during both past three and the upcoming three months.
Industrial, Manufacturing production
Annualized industrial output in the United Kingdom probably expanded 2.6% in August, following a 1.7% gain during the preceding month. If so, this would be the strongest increase since April. In monthly terms, industrial production probably remained flat in August. The index reflects the change in the total inflation-adjusted value of production in sectors such as manufacturing, mining and energetics.
United Kingdom’s annualized manufacturing production, a short-term indicator which accounts for almost 80% of nation’s industrial output, probably expanded 3.4% in August. If so, this would be the fastest annual pace since May. In July manufacturing output rose at an annualized pace of 2.2%. In monthly terms, production probably increased 0.1% during August. As it is a key component of country’s Gross Domestic Product, in case manufacturing production expanded more than projected, this would have a bullish effect on the sterling. The Office for National Statistics (ONS) will release the official industrial data at 8:30 GMT.
Canada
The number of building permits in Canada probably declined 9.0% in August compared to a month ago, according to the median estimate by experts. In July permits, issued by the government, increased at a rate of 11.8%. Building permits, as an indicator, provide information regarding demand in Canada’s housing market. In case the number of permits fell more than anticipated, this might have a bearish effect on the Canadian dollar. Statistics Canada is to release its monthly report at 12:30 GMT.
Technical view
According to Binary Tribune’s daily analysis, the central pivot point for the pair is at 1.7919. In case GBP/CAD manages to breach the first resistance level at 1.7977, it will probably continue up to test 1.8048. In case the second key resistance is broken, the pair will probably attempt to advance to 1.8106.
If GBP/CAD manages to breach the first key support at 1.7848, it will probably continue to slide and test 1.7790. With this second key support broken, the movement to the downside will probably continue to 1.7719.
The mid-Pivot levels for today are as follows: M1 – 1.7755, M2 – 1.7819, M3 – 1.7884, M4 – 1.7948, M5 – 1.8013, M6 – 1.8077.
In weekly terms, the central pivot point is at 1.8027. The three key resistance levels are as follows: R1 – 1.8120, R2 – 1.8291, R3 – 1.8384. The three key support levels are: S1 – 1.7856, S2 – 1.7763, S3 – 1.7592.
TradingPedia.com is a financial media specialized in providing daily news and education covering Forex, equities and commodities. Our academies for traders cover 
