FXstreet.com (Barcelona) - The downside pressure on CAD/JPY continues, pressuring the lower support zone of the bearish wedge formation formed up over the past two months.
"Failure against trend resistance, the 55-day MA and the pressure on the bear wedge in the recent past all suggest that risks are geared to the downside on this cross", says Greg Moore, FX Strategist and Shaun Osborne, Chief FX Strategist, at TD Securities.
TDS expands: "Longer-term trend momentum studies are bearishly aligned across a range of time frames and price action earlier in the year suggests to us that a long-term top has been reached in this market, adding to the broader bear momentum. Short-term, a clear push through trend resistance at 78.40 is needed to relieve downside pressure on the cross."
"Failure against trend resistance, the 55-day MA and the pressure on the bear wedge in the recent past all suggest that risks are geared to the downside on this cross", says Greg Moore, FX Strategist and Shaun Osborne, Chief FX Strategist, at TD Securities.
TDS expands: "Longer-term trend momentum studies are bearishly aligned across a range of time frames and price action earlier in the year suggests to us that a long-term top has been reached in this market, adding to the broader bear momentum. Short-term, a clear push through trend resistance at 78.40 is needed to relieve downside pressure on the cross."
