The Canadian Dollar has depreciated about 4.31% in value against the Japanese Yen since August 1. The currency pair reached an eight-month low at 78.97 on August 7.
The exchange rate bounced off from the eight months low level during yesterday’s trading session. As a result, the pair breached both the 50– hour simple moving average at 80.10 and tested the 50.00% Fibonacci retracement level at 80.97.
Most likely, the currency exchange rate might continue to gain strength within this week’s trading sessions. The potential upside target will be near the monthly S1 and the 200– hour SMA at 81.98.