FxWirePro: CAD/JPY trade Idea

• CAD/JPY was consolidating after hitting high of 90.03 on Dec 29th 2017.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 made on Nov 28th 2017. It is currently trading around 89.93.
   
• US crude oil prices rose 2% yesterday and hits highest level in 2-1/2 years on account of strong US economic data and political unrest in Iran. According to analyst, there is no immediate chance of supply disruption due to protest in Iran. US oil hits high of $62.12 and is currently trading around $61.84.
   
• The near term intraday major resistance is around 90.03 (Dec 29th 2017 high) and any convincing break above will take the pair to next level till 90.77/91.68.
   
• On the lower side, near term support is around 89.26 (23.6% retracement of 86.76 and 90.03) and any violation below will drag the pair to next level till 88.49 (50- day MA)/87.99 (61.8% retracement).

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

Resistance
 

R1- 90.03
 

R2 -90.77
 

R3-91.68
 

Support               
 

S1-89.26
 

S2-88.50
 

S3-88