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FxWirePro: AUD/JPY on track to test 200-DMA at 82.33, stay short

  • AUD/JPY extends slump for 3rd straight session after upside halted shy of 50-DMA resistance currently at 84.57.
     
  • Technical indicators have turned bearish, RSI is biased lower and Stochs have rolled over from overbought levels.
     
  • The pair has retraced from lows of 82.67, is struggling to hold break below 20-DMA at 82.88.
     
  • The pair is on track to test 200-DMA at 82.33 which is next major support on the downside.
     
  • Violation at 200-DMA will see drag upto major trendline at 82 levels.

Support levels - 82.88 (20-DMA), 82.33 (200-DMA), 82 (trendline)

Resistance levels - 83.70 (5-DMA), 84, 84.57 (50-DMA)

Call update: Our previous call (http://www.econotimes.com/FxWirePro-AUD-JPY-bearish-RSI-divergence-and-trendline-break-raises-scope-for-downside-680219) has hit TP1&2.

Recommendation: Book partial profit at lows, lower trailing stop to 83.70, hold for 82.30/ 82

FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at -126.423(Bearish), while Hourly JPY Spot Index was at 38.9779 (Neutral) at 1015 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.

 

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