CADJPY Downtrend Analysis: Bearish Momentum Continues
The CADJPY remains in a strong downtrend after completing its first wave structure to the downside. The corrective wave offered no signs of a trend reversal, confirming the sellers’ dominance.
Yesterday, during the Tokyo session, a new bearish wave structure began, breaking below the first wave's momentum low. Wave 2 formed as a correction to Wave 1, creating an opportunity to look for short trades below 108.614. A break below 107.65 (momentum low) is expected, with a Fibonacci target of 61.8% as a likely end for the current wave.
Key levels to watch:
Entry: Below 108.614
Target: 107.65 and Fibonacci 61.8% level
Stop Loss: Above 109.05
Selling above 109.05 is not recommended.
Like, comment, and share your thoughts. Happy trading!
Yesterday, during the Tokyo session, a new bearish wave structure began, breaking below the first wave's momentum low. Wave 2 formed as a correction to Wave 1, creating an opportunity to look for short trades below 108.614. A break below 107.65 (momentum low) is expected, with a Fibonacci target of 61.8% as a likely end for the current wave.
Key levels to watch:
Entry: Below 108.614
Target: 107.65 and Fibonacci 61.8% level
Stop Loss: Above 109.05
Selling above 109.05 is not recommended.
Like, comment, and share your thoughts. Happy trading!
Order cancelled
Update:
We have been observing the CADJPY closely, the price behaviour has indicated a potential Bullish move on the H1 Chart. After trading above the 109.05 on Wednesday, price has printed a potential Bullish abc corrective wave which will indicate more upside in the pair.
recommendation is to take a small profit and close the trade.
We can short again if the price breaks below 108.34.
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