CADJPY Daily Trade Setup 30/7/26
CADJPY Daily Trade Setup 30/7/26
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CADJPY shows strong multi-timeframe Elliott Wave alignment, with the higher timeframe maintaining a broader bullish structure while the H4 chart develops a short-term correction within that trend. This suggests the current H4 weakness may be part of a larger continuation setup rather than an isolated reversal.
On the higher timeframe, the bullish outlook remains valid as long as price holds its higher-low structure and key Fibonacci support. The broader wave count still favors a corrective pullback inside an ongoing uptrend, rather than a full bearish reversal. The main focus is whether this correction is forming as an ABC pattern, triangle, or complex consolidation before the next upside move begins.
On the H4 chart, price action appears to represent the execution phase of that broader view. If CADJPY continues to compress inside a channel, wedge, or triangle while respecting higher-timeframe support, the correction may be nearing completion. A sweep of liquidity into support followed by a strong reclaim would offer a clearer sign that the pullback has ended and bullish momentum is returning.
The most important factor is the overlap between higher-timeframe support and the H4 termination zone. If the H4 correction completes near daily or weekly Fibonacci support, a prior wave-four area, or rising channel support, the probability of a bullish continuation increases. A break above H4 corrective resistance would be the first signal of a trend shift, while reclaiming the latest lower high would provide stronger confirmation of a new impulsive move.
Overall, CADJPY remains constructive across timeframes, with the preferred scenario calling for a short-term correction into support before another leg higher. This bullish view stays intact while the higher-timeframe higher-low structure holds. A sustained move below that support would weaken the setup and point to a deeper correction.
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Patrick has been involved in the financial markets for well over a decade as a self-educated professional trader and money manager. Flitting between the roles of market commentator, analyst and mentor, Patrick has improved the technical skills and psychological stance of literally hundreds of traders – coaching them to become savvy market operators!