FxWirePro: AUD/CAD Holds Above 78.6% Fib, Focus on RBA Minutes
- AUD/CAD has bounced off strong support by 78.6% Fib level at 0.9368. Daily charts show hanging man formation on Friday's trade, which supports upside.
- The pair has hit session highs at 0.9439, and has since pared some gains to currently trade around 0.9420 levels.
- Longer term bias is bearish, breaks below 0.9368 (78.6% Fib retrace of 0.9150 to 1.0169) could drag the pair to 0.93 and then 0.9250 levels.
- On the flipside, next hurdle is located at 0.9441 (5-DMA) ahead of 0.9470 (trendline), continuation of upside only on breaks above 0.9470.
- Markets now focus on the RBA May policy meeting minutes (due Tue 0130 GMT), April unemployment rate (due Thurs 0130 GMT).
- Canadian existing home sales for April are scheduled for release later today and are likely to show a further increase in the number of units sold.