FxWirePro: AUD/CAD finds major resistance at 0.9929, further upside only on break above

• AUD/CAD is extending grind higher for 2nd consecutive session. 5-DMA has turned and supports further upside.
   
• Bullish RSI divergence on 4-hourly charts keeps scope for upside. The pair has shown decisive break above 50-SMA on 4H charts.
   
• Next major resistance on the upside is seen at 0.9929 (20-DMA).
   
• Trend remains lower and we see further upside only on break above 20-DMA.
   
• Momentum indicators on daily charts are also showing turn higher. Stochs have rolled over from oversold levels adding to further upside confirmation.
   
• RSI is still weak below 50 levels and only a breach at 20-DMA will see test of 200-DMA at 1.0035.
   

Support levels - 0.9832 (5-DMA), 0.9735 (July 12 low), 0.97

Resistance levels - 0.99, 0.9921 (38.2% Fib retrace of 0.9150 to 1.03975 rally), 0.9929 (20-DMA)

Call update: Our previous call (http://www.econotimes.com/FxWirePro-Bullish-RSI-divergence-on-AUD-CAD-raises-scope-for-upside-good-to-go-long-on-dips-801907) is progressing well.

Recommendation: Stay long.

FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at 130.343 (Bullish), while Hourly CAD Spot Index was at 63.1895 (Neutral) at 0710 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.

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