AUDCAD,

TECHNICAL ANALYSIS

MONTHLY CHART

The price is now in a congestion marked by K and G horizontal line (highlighted zone). You can clearly see the 2 waves up and down, a typical characteristic of a congestion. 

Price is now at the top end of the congestion zone at K and has already completed the 2 waves in the congestion making the K resistance zone a strong halt zone. The next likely movement is another two wave until we will see either the bulls or bears succumb.

The period between green and pink arrows indicate averagely how long the price takes to reach the end of the congestion which is averagely 28 months. 

WEEKLY CHART

The weekly chart shows more inside action. The highlighted K-G zone is the same as the one above on the monthly chart. The 2 waves in the congestion can be seen here prominently.

You can see the strong reactions off the ends of the congestion zone like the strong pin bar, that triggered that strong sell of.