Technical analysis and trading recommendations on USD/CAD & USD/JPY for February 12, 2015

TECHNCIAL VIEW ON USD PAIRS

USD/CAD

Today, traders will monitor US retails sales and Unemployment claims. The positive reading will push the pair to make a new high. At yesterday's session, the pair was rejected from the 80.0 fib level from a 1.2798 high to a 1.2352 low. The pair has intraday support at 1.2570 and 1.2520. We recommend selling only below 1.2520 with the targets at 1.2450, 1.2430, and 1.2380. The panic will be triggered below 1.2350. The pair made an upside triangle breakout on the hourly chart. On the bullish front, bulls can challenge 1.2770, 1.2800, and 1.2950 in case if the prices close above 1.2700.

USD/JPY

The Yen declined against the USD at yesterday's session. The prices made an upside breakout in a 5-week trading range. The prices closed above the larger symmetric triangle with an inner ascending triangle. We still recommend buying from 177.70 with the upside target at 120.50. At yesterday's session, the pair made a high exactly at 120.50. Today, traders will be focused on US retails sales and Unemployment claims. The positive reading will push the pair to make a new high. The pair has the nearest resistance at 120.80. Bulls can challenge towards the previous high. Above it, 124.00 and 124.50 are ultimate targets. The pair has intraday support at 119.80 and intra week exists at 118.55. Until the pair holds and trades above 118.50, use every dip to buy. Another strong upswing will appear only above 120.80.