The Canadian Dollar has been trading in a dominant descending channel against the Japanese Yen since early January. The currency pair smooth journey in this pattern was interrupted in March when a reverse north occurred after hitting a support cluster set by the combination of the weekly and the monthly PPs near the 80.78 area.
The CAD/JPY exchange rate has since been moving in a junior ascending channel. Meanwhile, a breakout has occurred through the upper boundary of the dominant channel.
The overall market sentiment is bullish; therefore, the currency exchange rate is likely to continue moving north during the following trading sessions.
