FxWirePro: Sell CADJPY on rallies
Ichimoku Analysis (Daily chart)
CADJPY continues to trade lower for 2nd consecutive days on strong yen. The pair jumped more than 200 pips from the minor bottom of 77.61. The Canadian dollar was one the best performer against USD in the past 3-weeks on strong crude oil prices and better than expected Canadian economic data. The escalation trade war between the US and Sino has increased demand for Safe-haven assets like Yen, gold. Markets eyes Canada's jobs data for further direction.
WTI Crude oil is trading slightly weak after hitting a high of $43.50. Any violation below $40.50 confirms further bearishness. It is currently trading around $41.54.
On the higher side, the pair is facing major at 79.60 (100- day MA) and any violation above will take the pair to the next level till 79.86/80.15/81.
The near-term support is around 78.74, an indicative break below targets 78.35/77.94/77.60. Significant selling can be seen only below 77.60.
It is good to sell on rallies around 79.45-50 with SL around 80 for the TP of 77.65.