Thu, Dec 03, 2020 @ 14:10 GMT
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AUD/CAD 4H Chart: Breakout Occurs

Upside risks have dominated the Australian Dollar versus the Canadian Dollar since the beginning of September. After hitting the upper boundary of a long-term descending channel pattern at 0.9142 on September 13, the exchange rate made a U-turn south. As a result, a breakout occurred through the bottom border of a junior ascending channel during the morning hours of Thursday’s trading session.

Given that a breakout had occurred, the AUD/CAD currency pair will most likely continue its southern movement within the following trading sessions. The potential for bearish traders would be near the weekly S2 at 0.8957.

However, a support level formed by the 200-hour simple moving average at 0.9006 could provide support for the currency exchange rate in the short term.

Dukascopy Swiss FX Group
This overview can be used only for informational purposes. Dukascopy SA is not responsible for any losses arising from any investment based on any recommendation, forecast or other information herein contained.

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