FxWirePro: Sell CADJPY on rallies

Candlestick- Shooting star

Ichimoku Analysis (8-hour chart)

Tenken-Sen- 79.30

Kijun-Sen- 79.30

CADJPY lost more than 200 pips after forming a minor top around 80.14. The decline was mainly due to the strong yen. The demand for Safe-haven assets like Yen increased after a huge spread of second wave coronavirus in major countries. The pair has formed a temporary bottom around 74.78 and jumped more than 700 pips.  

WTI Crude oil is trading in a narrow range between $42.46 and $40.47 for past one week. Any violation above $42.50 confirms further bullishness. It is currently trading around $41.40.

On the higher side, the pair is facing immediate at 79 (100- 8H MA) and any violation above will take the pair to the next level till 79.50/80.15/81.

The near-term support is around 78.26 (200- 8H MA), an indicative break below targets 78/77.77/77. Significant selling can be seen only below 78.

It is good to sell on rallies around 78.75-80 with SL around 79.30 for the TP of 77.