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AUDCAD reversed from resistance area; Likely to fall to 0.8900

 

AUDCAD recently reversed down with the daily Japanese candlesticks reversal pattern Falling Star from the resistance area located between the resistance level 0.9020 (which stopped the previous waves 4 and A), upper daily Bollinger Band, 61.8% Fibonacci correction of the previous downward impulse (1) from September and the resistance trendline of the daily down channel from April. Given strengthening bearish Australian Dollar sentiment – AUDCAD is expected to fall further in the active medium-term impulse wave (3) toward the next support level 0.8900 (former strong support from August) – from where the pair is likely to correct up.

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