Yesterday, CAD/JPY recovered from the previous day’s drop and rose to 108.28 yen in the Tokyo market. In Western markets, the “Deep Seek” shock faded, and with strong stock markets, CAD/JPY remained stable.
Today, the Bank of Canada (BOC) meeting will take place, followed by the FOMC meeting. These are important events for the future of the Canadian dollar. Because of this, many traders are waiting and not taking big positions.
There are several negative factors for the Canadian dollar, such as Trump’s tariffs and possible interest rate cuts. At the same time, the Bank of Japan (BOJ) continues to raise interest rates. If traders start selling CAD/JPY, the price may drop more than expected because there are not many positions holding it up.
Expected CAD/JPY Range: 109.00 yen (BB baseline) – 107.10 yen (50%)
Note: The above is not a guarantee of profit. Make your own decisions when trading.