CAD/JPY Is Moving to the Upside

CAD/JPY reached the support at 77.75 and tested that level for two days while forming multiple spinning top candlesticks, as well as a doji candlestick and an inverted hammer candlestick above it on the four-hour time-frame. Under those circumstances it was no surprise that the pair bounced off the support and started moving to the upside, eventually breaking above the resistance at 78.40, which coincides with the (MA)89 indicator on the same time-frame, despite forming a hanging man candlestick below it. The pair is currently still very bullish and the move to the upside will likely continue at least until CAD/JPY reaches the next resistance at 78.90 – 79.00.