AUD/CAD WAVE ANALYSIS: PRICE REVERSES FROM KEY RESISTANCE ZONE
AUD/CAD WAVE ANALYSIS: PRICE REVERSES FROM KEY RESISTANCE ZONE
The AUDCAD currency pair recently reversed downward from a significant resistance zone between 0.8860 and 0.8865.
This zone encompasses the 61.8% Fibonacci retracement level of the downward impulse from March, the 20-day moving average, and a former support level from August and January.
The confluence of the 61.8% Fibonacci retracement, the 20-day moving average, and historical support levels creates a strong resistance area, leading to the recent price reversal.
Technical indicators, such as the Relative Strength Index (RSI), have shown signs of bearish momentum, suggesting potential for further downside movement.
If the bearish trend continues, key support levels to watch include 0.8800, 0.8750, and 0.8700. A break below these levels could signal a deeper correction.
Market sentiment remains cautious amid global economic uncertainties.
Traders should monitor upcoming economic data and central bank policies, as these factors could influence the AUDCAD pair's direction.
