CAD/JPY: sell target - 91.00
By: Dmitriy Chernovolov
- CAD/JPY reversed from resistance zone
- Next sell target - 91.00
CAD/JPY recently reversed down from the resistance zone lying between the resistance level 92.40 (which stopped the earlier A-wave in August), the upper daily Bollinger Band and the 38.2% Fibonacci Correction of the previous sharp downward impulse wave (1) from the middle of July. The downward reversal from this resistance zone created the daily Japanese candlesticks reversal pattern Bearish Engulfing – stopping the previous impulse wave (i) and starting the active correction (ii).
CAD/JPY is likely to correct down further in the active minor corrective wave (ii) toward the next sell target at the support level 91.00.