The Canadian Dollar to Japanese Yen (CAD/JPY) currency pair exited its recent downtrend on Tuesday, buoyed by positive momentum from the stochastic oscillator. The pair successfully broke above the descending channel’s resistance at 104.55, triggering a wave of bullish movement and registering notable gains by climbing to 106.25.
Technical indicators are reinforcing the bullish outlook. The 55-period moving average has established a supportive base near the 105.40 level, which is expected to enhance the strength of the upward trajectory. With this foundation in place, the pair is likely to challenge the 106.40 resistance zone. A decisive break above this level could pave the way for further advances, potentially targeting 106.85 in the near term.
Today’s projected trading range: 105.40 to 106.40
Trend outlook: Bullish
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