- AUD/JPY is extending rebound from 4-year low of 77.51 (levels unseen since June 4th 2012) hit on Tuesday.
- A renewed risk-on wave appears to grip the markets amid a minor pullback seen in the Asian equities, halting JPY upside.
- The pair has broken above trendline resistance and major psychological levels at 78 and finds major support on 4H charts at 77.90.
- 4H 10-SMA at 78.16 is immediate support on the downside, while next hurdle on the upside is seen at 78.56 (June 14th high).
- Techs on 4H charts support upside, Stochs have rolled over from oversold region and RSI is biased higher.
- We see a bullish MACD line crossover on the signal line. Upside till 79.17 (20-DMA) likely.
Recommendation: Good to buy dips around 78.40, SL: 77.90, TP: 78.80/ 79/ 79.15
