CAD/JPY – stuck near 77.61 for the long term?

Justin Freeman

The Canadian dollar suffered in the foreign exchange markets last week, and its performance in its pair with the Japanese yen was no exception.

Here, the currency went down to its worst performance in around 10 weeks.

Its new-found low level, 77.61, was later left behind as the currency rose further amid an environment of resurgent bear moves.

The ultimate headline for the pair, though, is uncertainty.

It closed on Friday with a price chart movement known as a ‘Doji pattern’, which revealed just how uncertain traders of this pair are at the moment.

Potential support and resistance levels for the pair are now under close scrutiny.

Some suggest that the currency could move to a monthly support zone of around 77.25.

In the other direction, meanwhile, there is some speculation that the pair could get as high as 80.35.

Overall, the pair is believed to have a predisposition towards bears at the moment – but whether this will hold does remain to be seen.

What does the economic calendar hold over the next few days for these two important global currencies?

On Monday, the Japanese yen will be in the spotlight later in the evening as the Tokyo consumer price index – excluding fresh food – will be published at 11:30pm GMT.

This will cover the month of July and is likely to show no year-on-year change from its previous position of 0.2%.

Japanese monetary basis information will be out shortly afterwards at 11:50pm GMT.

This will also cover the month of July and is due to reveal a year-on-year change from 6% up to 6.3%.

On Tuesday, meanwhile, Canada’s manufacturing purchasing managers’ index for Markit will be out at 1:30pm GMT.

This will cover July, and is due to show a dip from 47.8 to 44.1.

On Wednesday evening, Japan will publish some insights into the state of its price levels.

The country’s producer price index for July will be out at 11:50pm GMT.

This was last recorded at 0.6% on a month-on-month basis.

On a year-on-year basis, meanwhile, the indicator was last recorded at -1.6%.

Looking ahead to Thursday, meanwhile, a release looking at the prices of newly constructed residential properties in Canada will be out at 12:30pm GMT.

This will cover the month of July.

Year on year, this was last recorded at 1.3%.

In a sign of just how difficult the coronavirus pandemic has been for the Canadian construction industry, however, it was last recorded month on month at just 0.1%.

On Friday, Japan will publish its tertiary industry index for June at 4:30am GMT.

Month on month, this was last recorded at -2.1%.

Canadian manufacturing sales data for the month of June will be out at 12:30pm GMT.

This was last recorded and published at 10.7% on a month-on-month basis.

Justin Freeman

Latest news

EUR/GBP Eyeing 0.9282 Level on the Forex Price Charts
The pair containing the single European currency and the British pound has been closely watched in recent weeks. Read more
NZD/USD Looking at 0.6503 Support, US Debate on Cards
The New Zealand dollar experienced some temporary upturns following the announcement from the Reserve Bank of New Zealand that interest rates will be held firm. Read more

Safest Forest Brokers 2020

Broker Info Best In Customer Satisfaction Score
#1 ForexTime LogoYour capital is at risk Founded: 2012 Global CFD and FX broker
Number One Broker
Best FOREX BROKER Visit broker
#2 Your capital is at risk Founded: 2012 Global Forex Broker
Number One Broker
Best Trading App Visit broker
#3 Forex Broker Pepperstone LogoYour capital is at risk Founded: 2010 Global Forex Broker
Number One Broker
Low minimum deposit Visit broker
#4 Your capital is at risk Founded: 2006 Globally regulated broker
Number One Broker
#5 BlackBull MarketsYour capital is at risk Founded: 2014 Global Forex Broker
Number One Broker
BEST SPREADS Visit broker

    Forex Fraud Certified Brokers

    skilling logo
    VantageFX Small Logo
    FXTM Logo
    HYCM Logo
    Oanda Small Logo
    Plus500 Small Logo
    Exness Small Logo
    OctaFX Logo
    ATFX Logo
    IQ Option Logo
    XM Logo
    City Index Logo Logo
    BlackBull Markets Small Logo
    LegacyFX Small Logo
    Oinvest Small Logo