- AUD/JPY trades with a bullish bias, pair is on track to test 100-DMA at 85.31.
- The pair has edged lower from 1-month highs at 84.53, bias remains higher.
- Technical indicators support upside, we recommend going long on dips.
- Break above initial resistance by 100-DMA at 85.31 could see test of 86.25 (major trendline resistance).
- We see bearish reversal only on break below major trendline support at 82 level.
Support levels: 84.04 (38.2% Fib retrace of 88.17 to 81.48 fall), 83.60 (5-DMA), 82.92 (20-DMA)
Resistance levels: 85, 85.31 (100-DMA), 85.62 (61.8% Fib), 86.25 (trendline resistance).
TIME TREND INDEX OB/OS INDEX
1H Neutral Overbought
4H Bullish Overbought
1D Bullish Neutral
1W Bullish Neutral
Recommendation: Good to go long on dips around 84.25, SL: 83.60, TP: 85/ 85.30/ 85.60
FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at 73.2022 (Bullish), while Hourly JPY Spot Index was at -155.777 (Bearish) at 0700 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
