- AUD/CAD is extending declines for 3rd consecutive session, has broken below 20-DMA.
- Technical studies point to further downside, we see scope for test of 100-DMA at 0.9987.
- Bearish RSI divergence adds downside bias, bearish invalidation only on close above 20-DMA.
- 50-DMA at 1.0102 is immediate support, break below targets 1.0070 (38.2% Fib).
- Aussie subdued by retail sales miss, Reserve Bank of Australia’s (RBA) monetary policy meeting, scheduled to be held on April 4 in focus for further direction.
Support levels - 1.0102 (50-DMA), 1.0070 (38.2% Fib), 1.0022 (Feb 24 low), 0.9988 (50% Fib)
Resistance levels - 1.0170 (23.6% Fib), 1.0185 (5-DMA), 1.0202 (20-DMA)
TIME TREND INDEX OB/OS INDEX
1H Bearish Neutral
4H Bearish Neutral
1D Bearish Neutral
1W Bearish Neutral
Call update: Our previous call (http://www.econotimes.com/FxWirePro-AUD-CAD-breaks-major-trendline-support-at-10225-good-to-short-rallies-605391) has hit TP1.
Recommendation: Book partial profits, hold for further downside.
FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at -68.6723(Bearish), while Hourly CAD Spot Index was at 84.4117 (Bullish) at 0800 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
