The CAD/JPY pair rebounded in the short term but the rally seems over. After its massive drop, a bounce back was natural. The rate came back to attract more bearish pressure before reaching new lows.
Fundamentally, the NHPI rose by 0.0% versus the 0.1% growth estimated. Tomorrow, the Japanese SPPI is expected to register a 1.7% growth versus the 1.8% growth in the previous reporting period, while BOJ Core CPI could report a 2.6% growth.
CAD/JPY Downside Continuation Formation!
Technically, the currency pair developed an up channel formation. This is seen as a bearish formation. Now, it has registered only false breakouts through the weekly pivot point of 99.427 which stands as a static resistance.
The false breakouts announced that the rebound is over and that the sellers should take the lead again.
CAD/JPY Forecast!
The false breakout with great separation above the weekly pivot point of 99.427 represented a selling signal. The first target is seen at the uptrend line. Taking out the dynamic support opens the door for more declines and brings new bearish opportunities.
The material has been provided by InstaForex Company – www.instaforex.com
The CAD/JPY pair rebounded in the short term but the rally seems over. After its massive drop, a bounce back was natural. The rate came back to attract more bearish pressure before reaching new lows.
Fundamentally, the NHPI rose by 0.0% versus the 0.1% growth estimated. Tomorrow, the Japanese SPPI is expected to register a 1.7% growth versus the 1.8% growth in the previous reporting period, while BOJ Core CPI could report a 2.6% growth.
CAD/JPY Downside Continuation Formation!
Technically, the currency pair developed an up channel formation. This is seen as a bearish formation. Now, it has registered only false breakouts through the weekly pivot point of 99.427 which stands as a static resistance.
The false breakouts announced that the rebound is over and that the sellers should take the lead again.
CAD/JPY Forecast!
The false breakout with great separation above the weekly pivot point of 99.427 represented a selling signal. The first target is seen at the uptrend line. Taking out the dynamic support opens the door for more declines and brings new bearish opportunities.
The material has been provided by InstaForex Company – www.instaforex.com
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