• FxWirePro: CAD/JPY trades higher, jump till 91.60 likely

    Source: FxWire Pro - Technicals / 29 Dec 2017 02:44:50   Eastern Standard Time

    • Major resistance – 89.80 (Nov 6th 2017 high).
    • CAD/JPY has broken major resistance 89.80 high made on Nov 6th 2017 yesterday and jumped till 89.92.The main reason for jump in Canadian dollar against all majors was due to strong crude oil price. The pair jumped almost 325 pips from the low of 86.75 on Nov 28th 2017. It is currently trading around 89.75.
    • US crude oil prices jumped to highest level since mid-2015 on unexpected drop in US production. US oil production dipped to 9.754 million bpd down from 9.789 million bpd previous week. The supply problem due to pipe line disruption in Libya and North Sea also troubling    which is expected to affect 90000 barrels a day production. Oil prices hits high of $ 59.98 and is currently trading around 59.81.
    • The near term intraday major resistance is around 89.80 (Dec 21st 2017 high) and any convincing break above will take the pair to next level till 90/90.77/91.68.
    • On the lower side, near term support is around 88.50 (50- day MA) and any violation below will drag the pair to next level till 88.00 (daily Kijun-Sen)/87.13.

    It is good to buy on dips around 89.55-60 with SL around 88.78 for the TP of 91.65.