Today’s analysis – CADJPY- approaching Daily S/R with a hidden bullish divergence, deviation probable,
Points to consider, - Trend Range Trading - Daily S/R (Support) - .50 Fibonacci ( 200 MA Confluence) - Oscillators Hidden Divergence - Low Volume
CADJPY’s immediate trend is ranging between Daily S/R levels. The current Daily S/R is immediate support, high probability of being respected on first test.
Immediate resistance is the .50 Fibonacci in confluence with the 200 MA, a lower high is likely to be set here.
Both oscillators have a valid hidden bullish divergence which indicates strength and reversals in the immediate term.
The volume profile is currently below average, an impulse is probable when key technical levels get tested.
Overall, in my opinion, CADJPY is a valid long with defined risk; price action is to be used upon discretion/ management of trade.
Hope this analysis helps
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And remember,
The market can stay irrational longer than you can stay solvent. - John Maynard Keynes