This past Tuesday when the GBPCAD was trading near 1.6130 I commented on the idea that the pair could find selling pressure at 1.6207. This area had a significant influence on price action in 2012 and 2013 and was, therefore, a level of interest this week. In that post, I also mentioned an alternative which included a more substantial reversion to the mean near the August lows at 1.6606. Here is an excerpt from the commentary: However, given that prices remain somewhat overextended due to the October 7th crash in the pound, there is a decent chance of a more substantial relief rally toward the August low at 1.6606. ... (full story)