The Canadian dollar to Japanese yen cross-pair is not one of the most popular tools among forex traders, however, due to some of its advantages, it has a certain number of fans who earn good money on it.The CAD/JPY currency pair allows you to get a good profit due to high volatility and strong trends that can last for a long time, as on other pairs with the yen (especially cross-pairs).The average volatility of the CADJPY chart makes it possible to get decent earnings without big risks in medium- and long-term trading. The exchange rate chart shows fairly long trends, which makes working with the currency pair quite predictable and stable.General characteristicsThe CAD/JPY quote is a cross rate. In this pair, the dollar is the base currency, the dynamics of the currency pair directly depends on its exchange rate. The yen, as a quoted currency, affects the currency pair in the opposite direction, the growth of the Japanese monetary unit leads to a decrease in the value of the quotes of the currency pair.Since the Canadian dollar is purchased for yen, quotes for CAD JPY are displayed with an accuracy of two decimal places (for example – 86.55).The CAD/JPY currency pair is the most active in the Asian and American trading sessions, due to the region of the countries to which these currencies belong. Fans of long-term sessions are advised to analyze the situation during the European session (the first half of the day) in order not to be distracted by short-term dynamics.Read more: USD/JPY: chart, forecast for today, currency pair overviewWhat does the CAD JPY rate depend on?It is known that the Japanese economy, firstly, is highly dependent on raw material prices, and secondly, is largely export-oriented. Therefore, the Japanese authorities strictly monitor the exchange rate of the national currency, and even in the recent past, the famous currency interventions of the Bank of Japan took place.The Canadian economy is also largely export-oriented, where the main trading partner is the United States, but imports from Asian countries also take place, so Canada does not seek such a significant weakening of the national currency as Japan.Both economies depend on the situation on the raw materials market, but Canada not only imports it for the needs of industry, but also exports it (timber, wheat, oil). The land of the rising sun has very limited reserves of its own raw materials, which in no way can cover the needs of a developed industry, therefore it is forced to buy it in large quantities.The influence of fundamental factors on this pair is very large, but it is better not to rely heavily on technical analysis (especially in the long term). Today, economic news has a big impact on the pair, especially related to trade balances, oil prices and changes in Central Bank interest rates (first of all, Canada, since the Central Bank of Japan has been holding a low interest rate up to negative for a very long time).At the same time, there is an economic recovery, both in Japan and in Canada, and the importance of US policy may be exaggerated. Analytics and CAD forecast: The total volume of exports in Canada rose by 4%, and the country's exports excluding the United States soared by 9.5% (a record for 5 years). Imports increased by only 0.7%.In Japan, total exports grew by 5.4% (and in China by a record 12.5%), the trade surplus for the first time in 15 months has been maintained for 4 months in a row.The Canadian dollar is highly dependent on the US dollar. Two huge countries are trading partners, the collapse of the economy of one of them will certainly pull down the second. When analyzing the Canadian dollar, it is necessary to take into account the American economy.Canada ranks 5th in the world in terms of popularity among tourists, so the tourist business significantly affects the local dollar exchange rate. Moreover, tourism in Canada is year-round, so it should always be taken into account. With a competent approach, you can make decent money on this. If the well-being of the citizens of the world's leading powers improves, then they have more opportunities to go on vacation to Canada, and the currency of this country is strengthening. Conversely, international crises and unrest worsen the quality of life of potential tourists, there are fewer guests in the country we are interested in, the CAD is weakening.Read more: CAD/CHF: description, characteristics, trading forecasts and feautures of the pairFactors influencing CADJPY quotesThe economic state of Canada is directly related to oil prices, since "black gold" is the country's main export. The indicator of the national currency reacts sharply to the dynamics of the cost of raw materials.Situation analysis also requires taking into account the weather conditions in the countries. Various elements negatively affect both currencies for completely different reasons. In Canada, the weather rarely deteriorates, infrastructure collapses even less often because of it, but any negatives cause an outflow of tourists, and hence income to the budget. In Japan, the elements are raging more often, have serious consequences and can scare away large investors who want to contribute to the country's economy.Almost all major brokers host calendars of important financial events and news that will be a good help in trading and forecasting for this currency instrument.How to trade CADJPYExperienced traders have long established that this pair is largely correlated with the oil price chart (in some years more, in others less) and in some cases, the Brent oil futures chart can act for lovers of medium and long-term trading as a good pointer to the future vector of the pair's movement (previously it correlated with CAD/JPY by more than 87%).There is a significant correlation between EUR/JPY and CAD/JPY, which often exceeds 90%.Since Forex trading takes place around the clock from Monday to the end of Friday, and a high spread will not allow scalping, there is not much point in talking about the dynamics of the exchange rate and the level of volatility in the context of specific trading sessions within the day, but if someone is still interested, then the main trades for this pair are conducted in the American session and to a lesser extent degrees in European (London) and Asian (after the opening of the Tokyo Stock Exchange).Fans of "trading for a breakdown" can enter the market at the opening of the American session at 12:00 GMT or at its overlap with the European one.Read more: GBP/CHF: online signals, forecasts for today, analysis & featuresDistinctive features of a currency pairCAD forecasts The CAD/JPY pair has several important features that every trader who wants to start trading it should definitely know.A significant spread caused, as in other cross-pairs, by double conversion (Canadian dollars are changed to American dollars, and only then yen is bought for USD).The second feature follows from the first and lies in the fact that due to the large spread, CAD/JPY trading is poorly suited for scalping and other short-term strategies. The "piper" is unlikely to be able to recoup his trade at all, even despite the high volatility.It is obvious that the pair is complex, requires cash, experience and patience, and for those who want to make quick money on opening short-term deals, there are other more suitable tools, for example, the same USD/JPY, which does not have such a significant spread.CADThe Canadian dollar, also referred to as the Loonie or Little Dollar, is the seventh currency in terms of trade in the world. The issuer is the Bank of Canada. It is a "commodity" currency unit, since the economy is dependent on exports of timber, energy and oil. The Loonie is strongly influenced by the neighboring country of the United States and its economic component.JPYThe Japanese yen is the third largest trading currency in the world. Its issuer is the Bank of Japan. The "safe haven" currency got its nickname due to the low level of inflation, plus relatively high economic stability. Low interest rates make it possible to maintain a low value in relation to other currencies. The monetary unit is often used in trading operations, especially in Asia. The government's support of a low exchange rate is a historical tradition that creates favorable conditions for exporters and contributes to economic ...
The volume of retail sales in Canada in March, according to official statistics, amounted to 57.6 billion US dollars. Compared to the previous month, the indicator in value terms increased by 3.6%. In real terms, sales growth was 3.2%. The main contribution to the growth of the indicator was made by the sale of building materials, garden equipment and equipment, clothing and accessories. At the same time, sales of food products and beverages decreased in March. According to the results of the first three months of this year, the volume of sales in the retail sector in value terms increased by 1.8% compared to the fourth quarter of last year. In real terms, the growth was 0.5%. Retailers continued to experience difficulties, as local authorities imposed restrictions in several regions of the country due to new cases of coronavirus infection. It is reported that in March there was a period when 2.1% of all retail outlets were closed in the country. According to a preliminary estimate from Statistics Canada, retail sales declined 5.1% in ...
