We recently discussed how CAD/JPY was about to complete an inverted head and shoulders pattern. This price bottom scenario is materializing, and price is even cracking the neckline this week.CAD/JPY Daily Chart(click to enlarge)Price Bottom:- The daily chart shows price cracking the neckline.- In fact the 7/12 session candle is a bullish engulfing candle. - This candle reflects a failed attempt by the market to fade CAD/JPY at this key resistance.- The fact that it closed the session higher suggests the momentum would carry CAD/JPY above the neckline.Targets:- While 90.00 might be a near-term target and psychological resistance, I think there is upside at least to the 92.25-50 area, which involves some key support/resistance pivots going back to 2013. Key Support:- In the short-term, if price falls back down and breaks the 7/12 session low (87.40), then we might need to scrap the bullish outlook and anticipate downside risk towards 84.00 before looking for more clues.