AUDCAD is set to record the second strong negative day in a row, posting a fresh one-week low near 0.9493. The bearish picture in the short and medium term is further supported by the MACD, which is falling below the zero and trigger lines, while the RSI is approaching the 30 level with weak momentum at the moment.
The price has eased around the 0.9505 level and if there is a closing candle below this area it would endorse further downside pressures. A bearish rally would drive the pair until the two-year low of 0.9417 last achieved on August 15.
On the flip side, a move to the upside could see immediate resistance at the 23.6% Fibonacci retracement level of the down-leg from 0.9930 to 0.9417, around 0.9538, which stands near the 40-simple moving average in the 4-hour chart. Slightly above these levels, the price could touch the 20-SMA at 0.9560. A stronger barrier, though, could be found at the 38.2% Fibonacci mark near 0.9610.
To sum up, the pair has been trading within a descending trend since June 22 after it bounced off the 0.9930 resistance level. In addition, AUDUSD remains below the moving averages in the daily timeframe, indicating further losses.
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