Trade of the Day: CAD/JPY

By: Dima Chernovolov

CAD/JPY continues to rise inside the uniform 15-minute Up Channel chart pattern, which was previously identified by Autochartist. Autochartist rates the quality of this Up Channel at the 7-bar level – which is the result of the low Initial Trend (3 bars), strong Uniformity and Clarity (8 bars) . CAD/JPY is expected to rise further inside this Up Channel .

As can be seen from the daily CAD/JPY chart below – the price recently broke above the round resistance level 100.00 (which previously reversed the pair sharply in March). This price level is acting as the support after it was broken. The proximity of this support level and the clear daily uptrend increases the probability CAD/JPY will continue to rise inside this Up Channel .