FxWirePro: AUD/JPY Near-Term Outlook

AUD/JPY chart - Trading View 

• AUD/JPY is extending weakness for the 5th straight week, bias remains bearish.
   
• Weaker Australian fundamentals which bolster RBA rate cut calls continue to weigh. 
   
• Further, looming US-China trade war risks also adds to the downside in the Aussie.
   
• Price action below cloud and major moving averages on the weekly charts.
   
• Volatility is rising and momentum highly bearish, scope for further downside.
   
• Upside remains capped at 5-DMA which is downward sloping, MACD and DMI support weakness.
   
• Next major bear target lies at 75, break below will see test of 61.8% Fib at 74.45.
   
• Break above 5-DMA could see gains till 76.84 (38.2% Fib). Bearish invalidation above 200-DMA.

Support levels - 75 (trendline), 74.45 (61.8% Fib), 74

Resistance levels - 75.82 (5-DMA), 76, 76.84 (38.2% Fib)

For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.