CAD/JPY may fall 91 - 127 pips

105.23 is our pivot point.

Our preference

Target 103.26.

Alternative scenario

Above 105.23, look for 105.85 and 106.22.

Comment

The RSI is below its neutrality area at 50. The MACD is below its signal line and positive. The MACD must penetrate its zero line to expect further downside. Moreover, the price is below its 20 period moving average (105.19) but above its 50 period moving average (104.24). Finally, the CAD/JPY is trading below its lower Bollinger band (standing at 104.59).

Supports and resistances

106.22 **

105.85 *

105.23 **

104.99

104.53 last

103.62

103.26 **

102.89 *

102.53 **

Number of asterisks represents the strength of support and resistance levels.