By: Colin Jessup
While this pair is not considered one of the 'Major' pairs by some brokers, the AUD/CAD has allot to offer traders. The pair provides very nice swings for swing & position traders, as well as nice range for day or intra-day traders. With the close of the weekly candle on Friday, this pair seems to indicate that it could be preparing for a push to highs last seen in 1997. In the past month, The pair broke through the resistance zone at 1.0610, touched another resistance zone at 1.076, then pulled back to 1.0610 (now support) with the tail of the weekly candle piercing the zone and then closing much higher. From the current price at 1.0695, there is little in the way of resistance until we reach 1.075 or the 15 year high at 1.0783. Support can be found below at 1.068 on a daily time frame and 1.0610, adding to the monthly pivot at 1.0571. As long as price remains above 1.0571 we could very soon establish a new 15 year high. Although technically speaking the pair closed lower than it opened last week, it only closed about 24 pips lower and the week before that only closed about 6 pips lower than it opened the week before that. Having been in a bullish trend since breaking out in December 2011, this brings me to once conclusion...I am Bullish on this pair.
Happy Trading!