Fibonacci Retracements Analysis 24.12.2020 (AUDUSD, USDCAD)
AUDUSD, “Australian Dollar vs US Dollar”
As we can see in the H4 chart, a divergence on MACD made AUDUSD start a new decline, which has already reached 23.6% fibo. However, at the moment the pair is correcting upwards to reach the post-correctional extension area between 138.2% and 161.8% fibo at 0.7574 and 0.7675 respectively, as well as the high at 0.7640. If the asset fails to break the high, the next descending wave will be heading towards 38.2%, 50.0%, and 61.8% fibo at 0.7392, 0.7316, and 0.7239 respectively.
In the H1 chart, the ascending wave has reached 76.0% fibo. If the price breaks the high at 0.7640, AUDUSD may continue growing to enter the post-correctional extension area between 138.2% and 161.8% fibo at 0.7708 and 0.7750 respectively. On the other hand, a breakout of the fractal low at 0.7462 will result in further mid-term descending tendency.
USDCAD, “US Dollar vs Canadian Dollar”
As we can see in the H4 chart, a convergence on MACD made USDCAD start a new correctional uptrend, which, after quickly reaching 38.2% fibo, was followed by a short-term correction. When the correction is over, the instrument may resume moving upwards to reach 50.0% and 61.8% fibo at 1.3039 and 1.3122. The support is the low at 1.2688.
The H1 chart shows a local correction after a rising impulse, which has already reached 50.0% and may continue in the form of a Triangle pattern. At the same time, one shouldn’t exclude another decline towards 61.8% fibo at 1.2791. If the price breaks the high at 1.2957, the correction will be over and the asset may resume growing.