FxWirePro: AUD/CAD recovery capped at 5-DMA, hovers around 200W SMA at 0.9817

• AUD/CAD recovery capped at 5-DMA at 0.9859, the pair slips lower on the day.
   
• The pair is trading 0.38% lower on the day at 0.9812, bias still bearish.
   
• We see some consolidation below 200-DMA at 0.9867, decisive break below 200W SMA at 0.9817 could accentuate weakness.
   
• The pair hit fresh 8-week lows at 0.9811 and is currently trading below 61.8% Fib at 0.9832.
   
• Technical studies on weekly charts are highly bearish. Stochs are sharply lower and MACD is on verge of a bearish crossover on signal line.
   
• We see scope for test of 61.8% Fib retracement of 0.91502 to 1.03975 rally at 0.9626.
   
• Retrace and close above 200-DMA could see bearish invalidation.

Support levels - 0.98, 0.9782 (Feb 9 low), 0.9626 (61.8% Fib)

Resistance levels - 0.9859 (5-DMA), 0.9867 (200-DMA), 0.9921 (38.2% Fib)

Call update: Our previous call (https://www.econotimes.com/FxWirePro-AUD-CAD-finds-strong-support-at-200W-SMA-at-09817-weakness-likely-on-break-below-1235981) has hit TP1.

Recommendation: Bias lower, stay short.

FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at -33.9053 (Neutral), while Hourly CAD Spot Index was at 76.0828 (Neutral) at 0920 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.

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