CADJPY possible setup for long to target 84.400!!
Bank of Canada already cut the rate by 50 basis points to 1 ¼ percent. When Canada’s economy is showing a strong potential to meet the Inflation target, COVID-19 virus has made the Canadian economy a negative shock. But how long COVID-19 virus will affect the Canadian currency?
If we look at the daily chart on CADJPY, we can see strong support is at 79.900. Whenever price is reaching this level we have noticed a strong demand to buy CADJPY. As long as this support will hold the CDAJPY, we can go for long to target 81.600 and the next possible target will be 84.400.
On the other hand, if the support will break and a daily close below 79.900 might push CADJPY lower to 78.000 and 77.000 respectively.
This trading analysis is only for getting an idea about the current market situation. This is not a signal. These can be used for education purposes only.