AUDCAD is Breaking Triangle โ Bullish Breakout Ahead of CPI?Today, I want to share a long trading opportunity on the AUDCAD pair ( FX:AUDCAD ), so stay tuned!
Currently, AUDCAD has successfully broken through its resistance line and is now situated within a heavy resistance zone(0.9585 CAD-0.9247 CAD).
From a classic technical analysis perspective, if we look at the AUDCAD chart on the 4-hour timeframe, we can see a symmetrical triangle pattern, which suggests a continuation of the recent bullish trend of AUDCAD.
From an Elliott Wave perspective, it appears that AUDCAD has completed microwave 4 of the main wave 5, and we can expect the start of microwave 5 of the main wave 5. The breakout above the upper line of the symmetrical triangle could confirm the end of the microwave 4.
Additionally, todayโs Canadian CPI data could act as a key catalyst for AUDCAD.
Based on recent macro trends, I expect inflation pressures in Canada to remain soft.
If CPI comes at or below expectations, it should weaken CAD and support a bullish continuation on AUDCAD.
As long as the structure holds, I remain biased to the long side.
As a result, I expect that after breaking the upper line of the symmetrical triangle, AUDCAD could rise at least to 0.9357 CAD.
First Target: 0.9357 CAD
Second Target: 0.9397 CAD
Stop Loss(SL): 0.9241 CAD
๐ก Please respect each other's opinions and express agreement or disagreement politely.
๐Australian Dollar/Canadian Dollar Analysis (AUDCAD), 4-hour time frame.
๐ Always set a Stop Loss(SL) for every position you open.
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This is just my idea; Iโd love to see your thoughts too!
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