The currency markets have been abuzz with notable developments, as the EUR/JPY pair successfully shattered the upper boundary of its consolidation pattern, and the Canadian Dollar (CAD) displayed signs of vulnerability against both the US Dollar (USD) and the Australian Dollar (AUD). These recent moves have captured the attention of traders and analysts alike, signalling potential shifts in currency dynamics.

The USDJPY Performance

As mentioned, we last saw a successful run to the upside on this pair hitting our target 1 around the 30 June. Since then, a retracement has been formed and completed. We are back to the top of the previous high with momentum to the upside. Support has been found at a price point of 138.020. The blue zone marked as a supply and demand has been broken and we are now at the top waiting for the high to be broken.

The EURJPY Performance

Targets are still in place as indicated with previous updates and comments. The structure has finally been broken with the daily timeframe as indicated. We wait for the retracement to form so we can look to get into the market however, if the market pushes higher and closes above the breakout candle, positions can also be filled.

The AUDCAD Performance 

Looking for a push to the upside on this pair. Price action indicates support found on the daily frame at price point 0.87236. An inner and outer trendline has been identified but needs to be broken. Major rejection has been seen at the supply and demand zone between price zones 0.87971 & 0.88205. A break with a daily frame above 0.88205 will be seen as a signal that buyers come into the market. This pair will be monitored very closely because of the rejection that took place so the wick can be filled. Target is set at a price point of 0.90362.

Read More: Traders Capitalised On A Bullish Pound Against The Yen

Final Thoughts On Today’s Analysis 

The forex market is a dynamic and ever-evolving landscape, influenced by a multitude of factors. The recent breakout in the EURJPY pair, as well as the CAD's weakening against the USD and AUD, underscore the importance of technical analysis and staying attuned to market trends. 

Traders who remain vigilant and adaptable to changing conditions are better positioned to navigate the complexities of the forex market and capitalise on emerging opportunities. Watch our YouTube channel to learn more about our analysis.