One of the pairs I like to watch and trade especially when USDJPY is slow, is CADJPY. CADJPY is also correlated to oil market and app 48 % of Japan energy requirements are met with Crude Oil. When price of oil goes up, its worse for Japanese economy and it usually weakens the Yen.
Technically, CADJPY is in uptrend that started to develop after a major trend line break and the price is still within the first the first zonal support and resistance in Fibonacci channel. The lower part of the channel along with T-89 ™ pattern, L3 and WPP make up a strong POC where we could expect a rejection. POC is 84.80-85.00 but current T-89 ™ is pushing the price up. The first target is 86.30 and the breakout is expected only at the 4h close above 86.85 where the next target is 87.80.
As long as the pair stays above L4 confluence at 84.50 we could expect the continuation of uptrend.
The analysis and the article presents Nenad's opinion. Remember, financial trading is highly speculative & may lead to the loss of your funds. Proper risk management is the Holy Grail of trading.
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