- AUD/JPY spiked above 20-DMA on Wednesday's trade, bias still higher.
- Pair finds stiff resistance at 87.50 (trendline), further upside only on break above.
- Aussie subdued on dismal Australia trade balance Data released earlier today.
- Australia trade surplus for Jan came in at AUD 1.3 bln, widely missing expectations for a print of AUD 3.8 bln.
- Break above 87.50 will see test of 88.15 levels. On the flipside break below 20-DMA could drag the pair to daily cloud support.
Support levels - 86.72 (20-DMA), 85.93 (50-DMA), 85.72 (cloud top)
Resistance levels - 87.50 (trendline), 88, 88.15 (Feb 15 high)
TIME TREND INDEX OB/OS INDEX
1H Bullish Neutral
4H Bullish Neutral
1D Neutral Neutral
1W Bullish Neutral
Call update: Our previous call (http://www.econotimes.com/FxWirePro-AUD-JPY-breaks-above-Symmetric-Triangle-pattern-good-to-go-long-on-dips-565534) has almost hit TP1.
Recommendation: Book partial profits at highs, raise trailing stop to 86.72, hold for upside.
FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at 4.74363(Neutral), while Hourly JPY Spot Index was at -154.34 (Highly bearish) at 0720 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
