CAD/JPY Price Recap
The choppiness in the recent daily price action of CAD/JPY continues; to start today, it comes in at a price of 80.329 US dollars, up 35 pips (0.44%) since yesterday. The price move occurred on volume — and we’re using the number of tick price changes as a proxy for volume — that was down 34.11% from the day prior, but up 30.35% from the same day the week before. Out of the 40 instruments in the Forex asset class, CAD/JPY ended up ranking 12th for the day in terms of day-over-day price change. Let’s take a look at price chart of CAD/JPY.
CAD/JPY Technical Analysis
The first thing we should note is that the current price of CAD/JPY is sitting close to its 200 day moving averages; moving average crosses often indicate a change in momentum, so this may be worth keeping an eye on. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 200 day average, which is 169.3 pips away. Trend traders will want to observe that the strongest trend appears on the 14 day horizon; over that time period, price has been moving down. For additional context, note that price has gone down 7 out of the past 10 days.
The View From Around the Web
Of note is that traders in aggregate have opinions on CADJPY, with 5 buy signals on our radar and 8 sell signals. This imputes a buy/sell ratio of 0.62, which is bearish. As for the rationale, technical traders seem to be citing the appearance of a trendline technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.
CADJPY at a very strong support/resistance trendline….The two hits on the trendline are almost perfect Looking for price to immediately reverse now towards the next key area which is the last high with much more potential to push towards the 38.2 % fib which is also a key area as well….CADJPY BUYstart: 79.875stop loss: 79.525take profit: 81.123https://www.tradingview.com/x/ve6ixLKo/