Trade of the Day: CAD/JPY
By: Dima Chernovolov
CAD/JPY continues to rise toward the key resistance level 97.02, which was recently identified by Autochartist. Autochartist rates the significance of this resistance level at the 3-bar level – which is the result of the 3 earlier price reversals from this price level. CAD/JPY is expected to continue to rise toward the key resistance level 97.02.
As can be seen from the daily CAD/JPY chart below – the pair earlier reversed up from the strong support level 95.25 (which has been reversing the price from the start of January). The proximity of this support level and the bullish divergence on the daily Stochastic increase the probability CAD/JPY will continue to rise toward the key resistance level 97.02.