Interest rate remained at 1% for Canada today, but the hawkish outlook and inflation picking up in the Canadian economy has led to higher price action for the CAD-JPY. Also, the recent fall due to oil prices led to CAD pairs being oversold. As the central bank looks forward, it is likely that Canada will be one of the first advanced economies to raise interest rates.
The oscillator indicators are making lower lows while the price action is making higher lows - known as hidden bullish divergence. This signals a continuation of the upward trend in the beginning of Autumn (August to mid-September). A crossover to the upside of the MACD would act as further confirmation of a formation of an upward trend.
The oscillator indicators are making lower lows while the price action is making higher lows - known as hidden bullish divergence. This signals a continuation of the upward trend in the beginning of Autumn (August to mid-September). A crossover to the upside of the MACD would act as further confirmation of a formation of an upward trend.