After the announcement of Canada’s gross domestic product (GDP) on Monday, the Canadian dollar (CAD) eventually rose through the obstruction rates and began to rebound against the Japanese yen (JPY). The figure currently stands at around 84.87 with the green bullish candle.
The news of gross domestic product surpassed economists’ expectations and makes the CAD/JPY currency make the bullish candle on the graph.
According to the economists, the gross domestic product would at 7.5% but it upgraded with the status of 9.6%.
The GDP released by Statistics Canada is a measure of the total value of all the Canadian-produced goods and services. The upward trend has a positive effect on the loonie while a downward trend for the CAD is negative (or bearish).
Here’s another light in the form of support levels that might keep the journey going as shown in the figure below.
Moreover, Statistics Canada released the Current Accounts of Canada, a few days back with the status of -$7.83 billion, better than what the economists had predicted.
The current account is a net flow of current transactions into and out of Canada, including products, services, and interest payments. A current account surplus means that capital inflows into Canada outnumber capital outflows. The statistics are given in Canadian dollars. A high reading indicates that the CAD is positive (or bullish), while a low reading indicates that the CAD is negative (or bearish).
The technical bias might remain bullish due to the higher high wave printed in the last upside move of the graph, so it promotes buyers toward the investment opportunity, moreover, this also provides yield to the sellers of the pair.