- AUD/CAD is extending retreat from fresh 2016 highs at 1.0157 on Tuesday's trade.
- Technical indicators have turned bearish, stochs and RSI have rolled over from overbought levels.
- The pair is trading in a narrow range in the Asian session. Holds above major trendline support at 1.0020.
- We see weakness on break below, pair is then likely to test 20-DMA at 0.9939.
- Major support levels - 1.0020 (trendline), 1.00, 0.9978 (Aug 11 lows), 0.9932 (23.6% Fib)
- Major resistance levels - 1.0070 (Sept 29 high), 1.0085 (Sept 27 low), 1.0120 (Aug 11 high)
Recommendation: Good to go short on break below 1.0020, SL: 1.0070, TP: 0.9980/ 0.9935
