- AUD/CAD edges lower from highs at 1.0082, bullish trend intact.
- Upbeat China's trade data released earlier today likely to keep the Aussie supported.
- China reported 15.9% y/y rise in exports and 25.5% rise in imports in CNY terms.
- Trade Balance (USD) Jan came in at 51.35B surplus versus 48.50B exp. and 40.71B last.
- Downside finds strong support by daily cloud, we see weakness only on break below.
- Weekly charts show the pair is poised for a breakout above channel top. Technicals on weekly charts support grind higher.
Support levels - 1.00 (Psychological level, 50% Fib), 0.9971 (100-DMA), 0.9966 (20-DMA)
Resistance levels - 1.0101 (61.8% Fib, Jan 23 high), 1.0157 (Sept 27 high), 1.0236 (78.6% Fib)
TIME TREND INDEX OB/OS INDEX
1H Neutral Neutral
4H Neutral Neutral
1D Neutral Neutral
1W Bullish Neutral
Call update: We had advised a long in our previous call (http://www.econotimes.com/FxWirePro-AUD-CAD-breaks-major-trendline-resistance-at-100-good-to-go-long-on-dips-528736).
Recommendation: We recommend holding for targets.
FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at -9.93121(Neutral), while Hourly CAD Spot Index was at 0.312287 (Neutral) at 0640 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
