Tumble lower found support buyers near key daily MAs
The CADJPY moved sharply lower yesterday, and in the process moved toward the lower 100 and 200 day MAs. The 100 day moving average is currently at 88.717. The 200 day moving averages at 88.49.
Yesterday, the low price reached 88.392. That was just below the 200 day moving average at the time at 88.46. The price rebounded off the lower 200 day moving average level, and closed at 88.56 - above the 200 day moving average but lower than the 100 day moving average.
Today, the low for the day reached 88.59, but has since moved up trading to an intraday high high price of 89.49. The current price is trading at 89.067.
Technically, the bounce near the key daily moving averages was indicative of support buyers. The price also is back above its 50% retracement of the move up from the August 2021 low to the October 2021 high. That level comes in at 88.839.
Going forward, with the support more or less holding, it increases the areas importance going forward. Stay above the moving average is more bullish. Move below, and sellers will take more control.
