Since the middle of October, the CAD/JPY currency pair has been trading within a rising wedge pattern.
From a theoretical perspective, it is likely that the exchange rate could continue to appreciate within the predetermined pattern until the beginning of April. Then, a breakout south could occur.
In the meantime, note that the rate is supported by the 55-, 100– and 200-period moving averages in the 82.00/83.00 area. Thus, a breakout north could occur, and the pair could target the 91.50 level.
