FxWirePro: CAD/JPY Trade Idea

• CAD/JPY has recovered sharply from the low of 90.06 yesterday on account of strong crude oil prices. The pair jumped till 91.10 yesterday and is currently trading around 91.14.
   
• US crude oil has shown a minor recovery after showing a decline till $51.41 after American Petroleum  Institute (API) reported a draw of 761000 bbls in US compared to inventory forecast of +3.42 million bbls. WTI crude hits 7- month high at $52.40 after Turkey threatens to block Kurdish exports.
   
• On the lower side, any break below 23.6% retracement at 90 will drag the pair down till 89.21 (34- day EMA)/88.48 (50- day MA).
   
• The pair ‘s near term major resistance is around 91.65 and any break above will take the pair to next level till 92.60 (161.8% retracement)/93.

It is good to buy on dips around 90.90-91 with SL around 89.99 for the TP of 93.

Resistance
               

R1- 91.65

R2 92.45
 

R3-93
 

Support               
 

S1- 90
 

S2-89.20
 

S3-88.80