Trade of the Day: AUD/CAD

By: Dima Chernovolov

AUD/CAD continues to rise inside the hourly Down Channel chart pattern, which was recently identified by Autochartist. Autochartist rates the quality of this Down Channel at the 7-bar level – which is the result of the slow Initial Trend (3 bars), significant Uniformity (7 bars) and strong Clarity (9 bars). AUD/CAD is expected to rise further inside this Down Channel.

As can be seen from the daily AUD/CAD chart below – the price earlier reversed up from the support zone lying between the key support level 0.91396 (which has been reversing the price from July) and the lower daily Bollinger Band. The proximity of this support zone increases the probability AUD/CAD will continue to rise inside this Down Channel.