The reason I am not bullish is due to one factor: the price. As this daily chart of the Australian Dollar shows, the price, at this moment, is currently going down:
More specifically, the long term trend, as well as the short term trend are down. Furthermore, the Aussie has recently been hitting new 52 week lows. That is bearish.
Moving on, the next chart is a monthly chart of the Australian Dollar:
Before entering a trade, I like to have confirmation from multiple time frames. The above chart shows the price breaking down from a multi-year consolidation area.
Because the Australian Dollar and Canadian Dollar tend to be correlated, one would expect the Canadian Dollar to also appear bearish and that is, in fact, the case.
Below is a monthly chart of the Canadian Dollar:
