AUD/CAD Short-Term Technical Outlook

[DailyFx]

The AUD/CAD has come under heaving selling pressure after peaking to 0.9841 in July, and may fall further as the downtrend continues to hold.



Currency Pair: AUD/CAD
Short-Term Bias: Short
Chart: 15 Min Charts




The AUD/CAD has come under heaving selling pressure after peaking to 0.9841 in July, and may fall further as the downtrend continues to hold. However, the big selloff during the previous session has triggered an oversold RSI signal, and may lead price action to move back towards the top of the channel within the next few hours.

After moving above the channel yesterday, price action has retraced back into the channel, and could be hitting resistance near 0.8949 (21.4% Fib level). The sharp downturn in the 120 SMA has led us to hold a bearish outlook for the pair, and we expect price action to break below 0.8800 to find support near 0.8775. Be sure to check out Jamie’s Technical Outlook for additional information on the major currency pairs


To contact the author of this article, please email: dsong@fxcm.com

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