On the 1h chart of CAD/JPY, we are observing a nice impulsive higher degree sequence taking place, with price specifically trading in one of its sub-waves. We are talking about blue sub-wave three that seems to be in final stages, because of all five visible legs that an impulse contains.
As such, a break below the lower channel line could indicate a temporary reversal taking place within blue wave iv, that may find its support around the start of the former wave iv) at 81.61. From this level bulls may again take control and see higher levels.
CAD/JPY, 1H