CAD/JPY gained sharply after the BOC's monetary policy. Now trading around 117.22, it reached an intraday high of 117.20.
Today, April 29, 2026, the Bank of Canada kept its policy rate steady at 2.25%, unchanged since October, as inflation approached 3% this quarter before falling back to the 2% target by early next year due to heightened uncertainty from U.S. tariffs, Middle East conflicts, and oil shocks. Governor Macklem noted the economy remains softer but resilient, with recent data showing firmness in inflation; future changes will be small and data-dependent, balancing risks from trade tensions and energy costs while committing to sustainable price stability over the medium term.
Technical Analysis
CAD/JPY is currently trading above the 34- and 55-EMA, 200 EMA, and 365 EMA on the 4-hour chart. The immediate resistance is at 117.25; a breach above that level could shift targets to 118/120. On the lower side, near-term support is at 116.50, and a break below this support could lead to declines toward 115.80/115.40/114.70/114.
Indicator Trends
CCI (50)- Bullish
ADX (14)- Bullish
Trading Strategy Recommendation
It is good to buy on dips around 116.68-70 with a stop-loss at 115.75 for a target price of 118/120.
