Rallies for third-straight day, bulls eyeing 110.00

  • CAD/JPY up to 109.82, extending a three-day streak, lifted by risk-on mood and weaker Japanese Yen.
  • Recent break above Ichimoku Cloud positions CAD/JPY to target 110.00, next resistance at 110.67.
  • Sellers could drive CAD/JPY below 109.00, with support levels at 108.94 and 108.56.

The CAD/JPY pair extended its three-day rally sponsored by upbeat market sentiment, as traders seeking risk underpin US equities while the safe-haven Japanese Yen (JPY) tumbles across the board. At the time of writing, the cross trades at 109.82, gain 0.16%.

After clearing the Ichimoku Cloud on Monday, January 15, the CAD/JPY soared more than 1.20%, and is within strike of breaching the 110.00 handle. Once that level is cleared, the next resistance level would be the November 15 110.67 high, followed by last year’s September 29 cycle high at 111.16.

On the flip side, if sellers would like to remain hopeful of lower prices they must drag the CAD/JPY exchange rate towards the 109.00 figure, which could open the door to test the January 17 low of 108.94, followed by the Tenkan-Sen at 108.56.

CAD/JPY Price Action – Daily Chart

CAD/JPY Technical Levels

 

Source: https://www.fxstreet.com/news/cad-jpy-price-analysis-rallies-for-third-straight-day-bulls-eyeing-11000-202401182240