AUD/CAD 4 Hour Price Update
Updated June 25, 2020 01:12 PM GMT (09:12 AM EST)
The back and forth price flow continues for AUD/CAD, which started the current 4 hour candle off at 0.9364, down 4 pips 0.04% from the previous 4 hours. Out of the 37 instruments in the Forex asset class, AUD/CAD ended up ranking 21st for the four-hour candle in terms of price change.
AUD/CAD End of Day Recap
Updated 00:30 GMT (04:30 EST)
AUD/CAD is down 11 pips (0.12%) since the previous day (opening today near 0.93546), marking the 2nd day in a row a decrease has occurred. Compared to its peers in the Forex, AUD/CAD gave its buyers a return that ranked 37th in terms of percentage change since the previous day. The price chart of AUD/CAD below illustrates.
AUD/CAD Technical Analysis
The first thing we should note is that the current price of AUD/CAD is sitting close to its 20 and 50 day moving averages; moving average crosses often indicate a change in momentum, so this may be worth keeping an eye on. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 20 day average, which is 7 pips away. Volatility for AUD/CAD has been contracting over the past two weeks relative to volatility over the past month. Whether volatility reverts will be something to watch. Trend traders will want to observe that the strongest trend appears on the 90 day horizon; over that time period, price has been moving up. Also of note is that on a 14 day basis price appears to be forming a base — which could the stage for it being a support/resistance level going forward. For additional context, note that price has gone down 8 out of the past 14 days. And for candlestick traders, a special treat: there is a pin bar pattern showing up on the charts as well. Rejoice!
The View From Around the Web
Of note is that traders in aggregate have opinions on AUDCAD, with 9 buy signals on our radar and 14 sell signals. This imputes a buy/sell ratio of 0.64, which is bearish. As for the rationale, technical traders seem to be citing the appearance of channel and triangle technical patterns. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.
TP1 and it may not go straight up to TP2….It may play around in the open area since it has room to bounce around….Wait until it breaks the TP1 area which will become a resistance zone and if it does bounce around the closer it gets to the mirroring triangle the more it will start to transition so patience is key.