$AUDCAD - Elliott Wave count and some interesting data
Updated
Hi guys! 👋🏻
🔔 Canadian GDP as per October was 0.1 bp above the expected 0.3% yet still lower than September’s 0.8%, hence the Canadian dollar is weakening these days. As Canada is World’s one of the largest oil exporters, its currency has a major dependency on oil price. Oil demand is decreasing due to the pandemic and with the new virus strain spreading so fast and European countries shutting down their borders, demand for oil decreases.
đź”” Australian dollar, unlike its counterpart CAD, is gaining due to the rising amount of demand for gold. The weakening US Dollar, new Covid-19 variance, US stimulus package might nudge investors to purchase the precious metal. As the Canadian Dollar is dependent on oil, Australian dollar is dependent on gold, as Australia is the 3rd largest Gold producer in the World.
đź””AUD/CAD weekly chart clearly demonstrates where the pair could stop its impulsive uptrend move, the dynamic resistance of March 23, 2013.
đź”” The Elliott Wave count of this pair also suggests the end of the motive at 0.99890. The pair is back inside that descending channel, hence the levels of this channel will play a significant role in price action of AUD/CAD.
đź”” Currently, the pair is testing an important resistance, despite the indication of overboughtness of the pair by RSI, MACD, MA100 and EMA50 acted as a support and signal the continuation of the uptrend. If the pair fails to break the current resistance at 0.97740, it might drop towards 0.96510 but never below that, otherwise the EW count would become invalid.
✊🏻 Good luck with your trades! ✊🏻
If you like the idea hit the 👍🏻 button, follow me for more ideas.
🔔 Canadian GDP as per October was 0.1 bp above the expected 0.3% yet still lower than September’s 0.8%, hence the Canadian dollar is weakening these days. As Canada is World’s one of the largest oil exporters, its currency has a major dependency on oil price. Oil demand is decreasing due to the pandemic and with the new virus strain spreading so fast and European countries shutting down their borders, demand for oil decreases.
đź”” Australian dollar, unlike its counterpart CAD, is gaining due to the rising amount of demand for gold. The weakening US Dollar, new Covid-19 variance, US stimulus package might nudge investors to purchase the precious metal. As the Canadian Dollar is dependent on oil, Australian dollar is dependent on gold, as Australia is the 3rd largest Gold producer in the World.
đź””AUD/CAD weekly chart clearly demonstrates where the pair could stop its impulsive uptrend move, the dynamic resistance of March 23, 2013.
đź”” The Elliott Wave count of this pair also suggests the end of the motive at 0.99890. The pair is back inside that descending channel, hence the levels of this channel will play a significant role in price action of AUD/CAD.
đź”” Currently, the pair is testing an important resistance, despite the indication of overboughtness of the pair by RSI, MACD, MA100 and EMA50 acted as a support and signal the continuation of the uptrend. If the pair fails to break the current resistance at 0.97740, it might drop towards 0.96510 but never below that, otherwise the EW count would become invalid.
✊🏻 Good luck with your trades! ✊🏻
If you like the idea hit the 👍🏻 button, follow me for more ideas.
Trade closed: target reached
Nothing is true, everything is permitted.
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