FxWirePro: AUD/CAD fails to extend gains above 20-DMA, intraday bias bearish

• AUD/CAD down 0.09% on the day, struggles to hold upside, edges lower from session highs at 0.9755.
   
• Aussie under pressure from weak China Caixin/Markit September services PMI which printed at a 21-month low of 50.6.
   
• The pair is seen struggling to extend above 20-DMA is stiff resistance at 0.9779.
   
• Technical studies are biased lower, RSI and Stochs point south and RSI shows weakness below 50.
   
• The pair is trading a falling Triangle pattern and finds strong support by triangle base at 0.9685.
   
• Break below 0.9685 will see extension of weakness, drag till 0.9578 then likely.
   
• On the flipside, bearish invalidation seen only on decisive break above 0.9780 (20-DMA).

Call update: Our previous call (https://www.econotimes.com/FxWirePro-AUD-CAD-struggles-at-20-DMA-at-09779-bias-bearish-stay-short-936673) has hit TP1.

Recommendation: Bias lower, stay short for targets.

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