• CADJPY reversed from support zone
• Likely to rise to resistance level 88.65
CADJPY recently reversed up from the support zone lying between the key support level 85.45 (former multi-month low from April) and the lower daily Bollinger band.
The upward reversal from this support zone create the daily reversal pattern Piercing Line, which stopped the earlier impulse wave 3
Given the strongly bullish CAD sentiment – CADJPY can be expected to rise toward the next resistance level 88.65 (top of the previous correction (ii)).