I'm leaning bullish towards this pair. On a technical level we can see an uptrend after an accumulation on the daily TF.
Looking closer on the 1H we can see higher lows and higher highs setting in. Rn price is entering a supply zone and I expect price to react to this or the next one above. I want to see another 1H retracement to 1 of the 2 OB's I marked out in orange.
This is the area I want to be placing a long position in after bullish confirmation on the lower TF.
I expect price to come back at least to the 0,92000 area, but my aim is 0,93500. This is close to the last weekly high.
The only thing that worries me, is that price made a retest after the accumulation, but didn't tap into the demand zone.
According to the fundamentals, we can expect bullishness because Canada has been getting bad economic data regarding GDP and unemployment. House prices are going down, what can lead to a lower demand for this currency.
On the other hand, Australia has a lower unemployment number and the central bank remains more hawkish, aiming on modest growth. Overall they received good economic data.
Looking closer on the 1H we can see higher lows and higher highs setting in. Rn price is entering a supply zone and I expect price to react to this or the next one above. I want to see another 1H retracement to 1 of the 2 OB's I marked out in orange.
This is the area I want to be placing a long position in after bullish confirmation on the lower TF.
I expect price to come back at least to the 0,92000 area, but my aim is 0,93500. This is close to the last weekly high.
The only thing that worries me, is that price made a retest after the accumulation, but didn't tap into the demand zone.
According to the fundamentals, we can expect bullishness because Canada has been getting bad economic data regarding GDP and unemployment. House prices are going down, what can lead to a lower demand for this currency.
On the other hand, Australia has a lower unemployment number and the central bank remains more hawkish, aiming on modest growth. Overall they received good economic data.
Trade active
Price tapped into the first OB during rollover and then the bulls took over. I broke through 2 resistance areas, giving me a lot of confidence in this trade.
If you're not in a long position already, you could wait for price to retest the marked out area. Price target is the daily resistance area.
Note
tradingview.com/chart/7e0vgPLG/Price just made a steep correction, perfectly tapping into the remaining OB. If we see bullish structure forming again on the lower TF, this would be a great long entry. Price should easily tag the 92 area and may continue to remain bullish hitting the 93,200 target
Note
tradingview.com/chart/7e0vgPLG/PA is giving me a lot of confidence in this trade. Original entry is still going, growing and collecting positive swaps.
We had a liquidity sweep today after the RBA rate decision. Numbers came in as expected, so it's safe to say there was some order mitigation going on.
I will be looking to take partial profit around 0,92300 and let the rest run to our daily supply zone.
If price were to revisit 0,92000 again, I will be looking to add more long positions.
Trade closed manually
Took profit after seeing price reject. I will be looking for new long entries after healthy pullback
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.