- AUD/JPY pauses downside, halts 3 straight sessions of losses, trades 0.19% higher on the day.
- The pair finds support at 50-DMA and we see further weakness only on break below.
- Technical studies are turning bearish. Stochs have rolled over from overbought levels.
- MACD is on verge of a bearish crossover on signal line and completion of the same will add to the bearish bias.
- Next major support below 50-DMA lies at 61.8% Fib retracement at 82.02.
- On the flipside, 5-DMA at 83.40 is immediate resistance. Break above 100-DMA invalidates bearish bias.
Support levels - 82.65 (cloud base), 82.42 (50-DMA), 82.02 (61.8% Fib)
Resistance levels - 83, 83.40 (5-DMA), 84 (100-DMA)
Recommendation: Watch out for break below 50-DMA to go short, SL: 83, TP: 82/ 81.35/ 81
FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at 100.903 (Bullish), while Hourly JPY Spot Index was at 96.6556 (Bullish) at 0600 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
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