FxWirePro: AUD/CAD breaks out of channel top, good to go long on dips

• AUD/CAD has shown a decisive breakout at channel top, raising scope for further upside.
   
• Canadian dollar weakens on the back of dovish BoC and falling crude oil prices.
   
• On the other side, the Aussie remains buoyed by stronger Chinese industrial and fixed asset investment data.
   
• China’s Jan/Feb (combined) retail sales Y/Y came in at +9.7% vs 9.8% expected and compared with 10.2% in the previous month.
   
• Also China's industrial output Y/Y printed at 7.2%, beating expectations at 6.2% and 6.6% in the last month.
   
• Technical studies are bullish on weekly and daily time frame charts.
   
• The pair is now holding minor resistance at 1.0211, break above will see resumption of upside.
   
• We see bullish invalidation on retrace and close below channel top at 1.0155.

Support levels - 1.0155 (channel top), 1.0119 (5-DMA), 1.0052 (61.8% Fib)

Resistance levels - 1.0211 (June 7th high), 1.0258 (88.6% Fib), 1.0275 (major trendline), 1.03

Call update: Our previous call (https://www.econotimes.com/FxWirePro-AUD-CAD-grinds-higher-in-Rising-Channel-pattern-watch-out-for-channel-breakout-for-further-upside-1198253) has hit all targets.

Recommendation: Good to go long on dips around 1.0190/ 1.02, SL: 1.0150, TP: 1.0255/ 1.0275/ 1.03

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