CADJPY on the weekly chart for more than a year is moving above the upward trend line. Recently, the price has once again reached this line and it looks like its test can be positive.
Additionally, the pair is caped by potential side of the triangle, from which there have already been two reflections. Turning to the daily chart, you can see that the downward movement after the second reflection can be placed between two expanding lines.
Yesterday on the daily chart there was a breakdown of the resistance created by the diagonal line drawn on the tops of the bearish movement discussed above. This behavior of the price action, taking into account the rebound from the annual trend line, may indicate potential growth.
The nearest goal in the case of the above scenario will be around this year’s high from September close to 91.40 / 60. On the other hand, we find the upper side of the triangle formation. Alternatively, bigger drops can be expected after closing the quotations on the daily chart under the uptrend line and the minimum from current month on 87.23.