Watch Out for a Rebound on AUDCAD
The AUDCAD established a Descending Wedge pattern, which in itself is demonstrative of a potential bullish rebound from its lower end. The likelihood of such a rebound taking place is bolstered by the fact that the Wedge appears to be bottoming out at the major support level at 0.92650.
Moreover, bullish pressure appears to be rising now that the price action has reached the lower end of the broader consolidation range, as underpinned by the Stochastic RSI indicator.
If the price manages to penetrate above the upper boundary of the Wedge, it is likely to then pull back before continuing to head higher. The first target is the 61.8 per cent Fibonacci retracement level at 0.93402.
Moreover, bullish pressure appears to be rising now that the price action has reached the lower end of the broader consolidation range, as underpinned by the Stochastic RSI indicator.
If the price manages to penetrate above the upper boundary of the Wedge, it is likely to then pull back before continuing to head higher. The first target is the 61.8 per cent Fibonacci retracement level at 0.93402.