Recently published economic data of Australia is showing good economic growth but Reserve Bank oF Australia maintaining a cautious look but if dta shows strong growth obviously they will need to hike interest rates. Bank Of Canada unexpectedly rose interate rate in September meeting.So AUD/CAD is in downtrend. As it is reaching its next support I expect a retracement from that level.

TECHNICAL ANALYSIS: AUD/CAD is downtrend on weekly and monthly chart.
TOOLS USED: BOLLINGER BAND, COMMODITY CHANNEL INDEX CCI, MACD, FIBONACCI RETRACEMENT.
CHARTS: WEEKLY AND MONTHLY

WEEKLY CHART:
  • AUD/CAD is at lower level of Bollinger band.
  • MACD is converged.
  • CCI is falling.

MONTHLY CHART:
  • USD/JPY is below the middle level of Bollinger Band.
  • MACD is in SELL mode.
  • CCI is falling.

Technical indicators suggest there may be some retracement in AUD/CAD.
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