The CAD/JPY 4 Hour Chart looks almost identical to the AUD/JPY that I posted a few days ago. An impulse up looks to be nearing completion in a C wave. I expect another high before we break sharply lower. RSI is divergent across all time frames, however wave count suggests this move up is not yet complete. As the move from 86.95-88.73 looks to be in 3 waves, there are two scenarios I think are most likely. Below are 15 minute examples of these.
Above is my favoured count. It is possible that CAD/JPY (and likely AUD/JPY also) is forming and Ending Diagonal, in which price will move up and down jaggedly until a top forms, probably around 89.60.
Below is another possibility. Due the the 3 wave nature of the move from 86.95, it is possible that wave 4 is not yet finished, and a 5 wave move down to complete the wave is needed before further upside action occurs. If this is correct, I expect wave 5 to complete just above 89.
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