AUDCAD Trades in 340 Pip Range
Market Condition: Range
Target 1: 50% of Range .9570
Target 2: Range Support .9400
Invalidation: 25% Range Extension .9825
AUDCAD 1Day Chart
(Created using TradingView Charts)
The AUDCAD is working on its fourth month of trading inside of a 340 pip range. As seen above, price has recently traded off of resistance near .9740, which coincides with its May 2015 high. Previous moves from this point of resistance, have pointed price towards support near .9400. If range bound conditions continue, traders may start by targeting 50% of the range at .9570 and ultimately support near .9400.
Alternatively if range resistance fails to hold, this opens the AUDCAD up to the possibility of a bullish breakout above resistance. The current range would be considered invalidated if prices reach .9825. This point technically marks a 25% extension over current resistance.
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