FxWirePro: AUD/JPY hovers around strong trendline support at 76.65, on track to test 61.8% Fib at 74.45

AUD/JPY chart - Trading View 

• AUD/JPY recovery lacks traction, price rejected at session highs at 77.23.
   
• The pair is extending weakness for the 4th straight week, bias remains bearish.
   
• Volatility is expanding on the weekly and daily charts. Price action is below cloud and major moving averages.
   
• Momentum highly bearish, Stochs and RSI are sharply lower. Oscillators are at oversold levels, so some pullback expected.
   
• Price action hovers around strong trendline support at 76.65, break below will accentuate weakness.
   
• Next major bear target lies at 61.8% Fib at 74.45. Failure to close below trendline support at 76.65 could see minor bounce.
   
• Break above 5-DMA at 77 could see gains till 21-EMA at 78.17. Bearish invalidation only above 200-DMA. 

Call update: Our previous call (https://www.econotimes.com/FxWirePro-AUD-JPY-Trade-Idea-1534565) has hit TP1.

Recommendation: Book partial profits at lows, hold for further downside.

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