The Canadian dollar (CAD) rebounded against the Japanese yen (JPY) today after falling yesterday. The cost of a loonie now totals $109.63.00. Upcoming negative updates from Japan have contributed to the rise in prices over the past few days.

Economists expect the 1.8% drop in manufacturing and mining output reported by Japan’s Ministry of Economy, Trade, and Industry last month will be sustained in the coming month. Manufacturing businesses closely monitor shifts in industrial production as a leading economic indicator.

On the same date (September 14, 2022), the Ministry of Finance will publish the results of the Merchandise Trade Balance. According to economists, the August deficit might decrease from -1,436.8B to a shortage of -2,398.2 billion

Since Japan’s economy is so heavily reliant on exports, the country’s trade surplus is crucial.

As can be seen, relatively few levels of resistance in its path could act as a brake on its upward trajectory and limit its further progress.

As for the pair’s price on the downside, it’s surrounded by numerous levels of support that will push it upward and act as a floor to keep it there.

Conclusion

Short-term and long-term stock traders should take advantage of the market’s recent bullish run, which began at the month’s start and may continue until a dramatic reversal occurs.