CAD/JPY Daily Price Forecast – 16th April 2020

CADJPY has been bearish on the daily chart for the last three trading days. The H4 chart shows that the price made a strong bearish move. Upon finding its support, it has been having an upward correction. A significant level may work as a level of resistance and drive the price towards the South. If the level produces a bearish reversal candle, the sellers may go short in the pair below yesterday’s lowest low.

This trade idea was generated by our powerful Elite Swing Trader System on an H4 time frame.

The chart shows that the price headed towards the South with good bearish momentum. It found its support at 76.040 and produced a spinning top. As of writing, the price has been bullish in the last H4 candle as well. The pair is trading around 76.404. If the current candle closes within this level and the level ends up producing a bearish reversal candle, the sellers may go short below the level of 76.040. However, it might be heading upwards if the previous candle high is breached.

Let us have a look at the summary of the trade…

• Buy Stop: 76.547
• Stop Loss: 75.978
• Take Profit: 77.035

In this setup, the Take Profit level is daily support. The price had a strong bounce at the level some days ago. Thus, traders may consider taking out the whole trade and wait for the price to give the next direction. It does not seem that the level of support is going to get breached soon. The price may make a bullish move from the level of support later. Meanwhile, let us wait and see what the price does in the H4 chart.

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