Market Analysis: GBP/USD Revisits Support While USD/CAD Regains Strength

<h1></h1><img src="https://fxopen.com/blog/en/content/images/2023/07/GBPUSD-British-Pound.jpg" alt="Market Analysis: GBP/USD Revisits Support While USD/CAD Regains Strength" /><p><em>GBP/USD is trading near the 1.2800 support zone. USD/CAD is rising and might gain pace above the 1.3230 resistance zone.</em></p><h2>Important Takeaways for GBP/USD and USD/CAD Analysis Today</h2><ul><li>The British Pound started a fresh decline from the 1.3120 resistance zone.</li><li>There is a key bearish trend line forming with resistance near 1.2870 on the hourly chart of GBP/USD at FXOpen.</li><li>USD/CAD is rising steadily from the 1.3120 support zone.</li><li>There was a break above a major bearish trend line with resistance near 1.3200 on the hourly chart at FXOpen.</li></ul><h2>GBP/USD Technical Analysis</h2><p>On the hourly chart of GBP/USD at FXOpen, the pair started a fresh decline from the 1.3120 zone. The British Pound traded below the 1.3050 support and moved into a bearish zone against the US Dollar.</p><figure><img src="https://lh6.googleusercontent.com/ucGfZcBrgAYVw6_cYcCMsmyxgFKyLnKTQZ7lW8KkP82sZGBiHUk5V4ZHyaYmWEtcCBt4zV_BSVcqawAc5DtWj0uIxS6bLH7Wxfw649CF7NUlcqFIW2I31aeS1bZEyKOy0CjVcuBWpXoM" alt="Market Analysis: GBP/USD Revisits Support While USD/CAD Regains Strength" loading="lazy" /></figure><p>The pair even traded below 1.2970 and the 50-hour simple moving average. Finally, the bulls appeared near the 1.2815 level. A low is formed near 1.2816 and the pair is now consolidating losses. It is testing a key bearish trend line with resistance near 1.2870.</p><p>The first major resistance on the GBP/USD chart is near the 23.6% Fib retracement level of the downward move from the 1.3124 swing high to the 1.2816 low at 1.2890.</p><p>The next major resistance is near the 1.2970 level. It is close to the 50% Fib retracement level of the downward move from the 1.3124 swing high to the 1.2816 low. Any more gains could lead the pair toward the 1.3050 resistance in the near term.</p><p>Initial support sits near 1.2840. The next major support sits at 1.2815 or 1.2800, below which there is a risk of a sharp decline. In the stated case, the pair could drop toward 1.2650.</p><h2>USD/CAD Technical Analysis</h2><p>On the hourly chart of USD/CAD at FXOpen, the pair formed a strong support base above the 1.3120 level. The US Dollar started a decent increase above the 1.3150 resistance against the Canadian Dollar.</p><figure><img src="https://lh3.googleusercontent.com/8omyt16p1QCs-baFBT3IuyCr5WmV4h61GbAbeeYUNfpdE4o5GKTylczknqOt33M1cEQ6R6HkF98VjpY3SRykzB-OM4Fb2qmX8UPOnhAXQ_MZH4L4PGJXMcCWpoMad9JMwX1r3BdIeiUv" alt="Market Analysis: GBP/USD Revisits Support While USD/CAD Regains Strength" loading="lazy" /></figure><p>The pair broke above the 50-hour simple moving average and a major bearish trend line with resistance near 1.3200. It is now consolidating near the 1.3230 resistance zone. A clear upside break above 1.3230 could trigger another steady increase.</p><p>The next major resistance is the 1.3300 level. A close above it might send the pair toward the 1.3350 pivot level. Any more gains could open the doors for a test of 1.3500.</p><p>Conversely, the pair could start a downside correction. Initial support is near the 1.3200 level and the broken trend line on the same USD/CAD chart. It is close to the 23.6% Fib retracement level of the upward move from the 1.3123 swing low to the 1.3228 high.</p><p>The next major support is near the 50-hour simple moving average at 1.3175. Any more losses might send the pair toward the 76.4% Fib retracement level of the upward move from the 1.3123 swing low to the 1.3228 high at 1.3150.</p><p>A downside break below 1.3150 could push the pair further lower. The next major support is near the 1.3120 support zone, below which the pair might visit 1.3000.</p><p></p><p><br></p><p></p>