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2 Aug 2013
Flash: AUD/CAD resumes bear trend – TD Securities
FXstreet.com (New York) - The TD Securities Team analyses the short-term outlook of the AUD/CAD.
Key quotes
“New cycle lows for AUD/CAD may be a bit of a feature for this market from here. We noted Tuesday that the heavy sell-off in the cross this week meant the broader resumption of the bear trend that has been in place since May (our medium-term target is 0.91 after the 1.07/0.99 double top breakdown).”
“Now, a broad alignment of short, medium and long-term trend momentum indicators in bear mode imply to us that the trend lower is strengthening which will mean limited counter-trend corrections and an ongoing move lower (in this case).”
“We think the 0.9450/0.9550 zone represents strong resistance now.”
Key quotes
“New cycle lows for AUD/CAD may be a bit of a feature for this market from here. We noted Tuesday that the heavy sell-off in the cross this week meant the broader resumption of the bear trend that has been in place since May (our medium-term target is 0.91 after the 1.07/0.99 double top breakdown).”
“Now, a broad alignment of short, medium and long-term trend momentum indicators in bear mode imply to us that the trend lower is strengthening which will mean limited counter-trend corrections and an ongoing move lower (in this case).”
“We think the 0.9450/0.9550 zone represents strong resistance now.”