The AUD/CAD currency pair has been trading in a downtrend line since mid-June. The Aussie reversed from the upper boundary of a dominant descending channel on June 22 and had since reached a two-year low level.
However, the exchange rate has formed a new junior ascending channel, which is currently guiding the pair higher. The price tested the 55-hour simple moving average during the morning hours on Monday.
Everything being equal, it is likely that the currency exchange rate continues to move in the newly formed junior ascending channel until it reaches the 200-hour SMA during the following trading sessions
