The CADJPY may have put in a false breakdown.

The CADJPY found support at the long term 78% retracement and came very close to the 127% Fibonacci extension of the summer move higher. The fact that we probed through horizontal support and closed near the breakdown point at the 80.00 level may leave room for a sharp rally as shorts look to cover. The RSI is very oversold and could correct higher as well.

CADJPY False Breakdown?

Blake Morrow