Australian and Canadian Dollars Still Strong After Recent Corrections

Chris Lee

The Australian and Canadian Dollars have both seen setbacks into latter March, but these moves are seen as corrective in nature.

A resumption of bullish AUDUSD and bearish USDCAD pressures already this week sees risk of the underlying bullish themes for AUD and CAD versus the US$ that have been dominant for much of Q1, resuming into early Q2.


A prod just through support at .7480 (to .7474), but then a bullish outside Monday pattern rebound from ahead of firm supports at .7411/06 and .7388 through the Easter break shifts to a rebound bias for Tuesday.

For Tuesday/ Wednesday:

  • We see an upside bias for .7600; break here aims for .7633.
  • But below .7474 opens risk down to .7411/06, which we would look to try to hold.

Short/ Intermediate-term Outlook – Upside Risks: The break above .7243 set a bull theme.

  • We see a positive tone with the bullish threat to .7738.
  • Above here targets.7849 and .8000.

What Changes This? Below .7106 signals a neutral tone, only shifting negative below .6971.


A push above 1.3244, but then a stall ahead of 1.3365 resistance (from 1.3296) and to push below 1.3173 support to leave the bias back lower for Tuesday.

For Tuesday/ Wednesday:

  • We see a downside bias for 1.3100 and 1.3044; break here aims for 1.3018.
  • But above 1.3296 opens risk up to 1.3365.

Short/ Intermediate-term Outlook – Downside Risks: A bearish shift in the short/ intermediate-term outlook below 1.3360.

  • We see a negative tone with the bearish threat to 1.2828.
  • Below here targets 1.2656 and 1.2304.

What Changes This? Above 1.4017 signals a neutral tone, only shifting positive above 1.4236.