Pound Falls Against Canadian Dollar Amid Trade Tensions

The British pound is expected to continue its decline against the Canadian dollar in the short term. Despite Canada imposing retaliatory tariffs on hundreds of US products, including steel at 50%, the GBP/CAD exchange rate has not been lifted. In fact, it's lower by 0.15% today, trading at 1.8676.

The chart analysis suggests that the pound is facing resistance from a 100-day moving average at 1.8715 and a horizontal line that used to be support. The two forms of resistance are now at the same price, making it even harder for the pound to break through.

Average slopes are lower in both short- and medium-term charts, indicating a downward trend. The 100-day average has also arrived on the same level as the horizontal line, which was previously support. This is reinforcing the resistance line and putting pressure on the pound.