AUD/CAD stalls at 161.8% and corrects lower, the 0.9095 barrier needs to be broken
The AUD/CAD cross took a strong bid on the unexpected Reserve Bank of Australia (RBA) interest rate hike.
We have seen a stalling in bullish momentum close to the 161.8% extension level of 0.9095. The subsequent move lower is mixed and we can clearly highlight price action to be holding within a corrective channel formation. This gives the cross a mildly positive bias.
However, with a barrage of resistance levels between 0.9089 and 0.9095, we need to clear this hurdle to continue the rally toward 0.9187.
A move below 0.9038, the previous swing high, would negate the bullish Elliott wave count.