© Dukascopy Bank SA
AUD/CAD decline started somewhere near a two-month low of 1.0011 reached late May and a few days later the pair embarked upon formation of the 118-bar long double top pattern.
Several hours earlier, the pair started a retreat from the second peak of the formation. Surprisingly, the weakness was short-lived as the 50-hour SMA at 1.0214 managed to mollify selling pressure thus helping the pair to reverse its trend. Meanwhile, the SWFX numbers indicate that almost 70% of all orders are placed to buy the pair. This confirms the pair's unwillingness to decline to the neck-line and suggests that we are not likely to see a breakout any time soon.
© Dukascopy Bank SA