AUDCAD Still bearish unless this level breaks


The AUDCAD pair is following our trading plan to the point since our last analysis (August 12), which was a sell signal following the 1D MA200 (orange trend-line) rejection:

AUDCAD Important 1D MA200 test. Low risk trades around it.

As you see nothing has changed, the price got emphatically rejected on the 1D MA200 and entered a Channel Down that has already hit our first target (0.89120). There is no diversion yet and as long as the Channel holds (especially the 1D MA50 (blue trend-line)), it could target on the medium-term the 1 year Lower Lows trend-line.

This pattern is invalidated only if the 1W RSI Symmetrical Resistance Zone breaks, or the price breaks above the 1D MA200, in which case we will take it as a buy signal, targeting the 1W MA300, which had the April 05 rejection.

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