FxWirePro: Swing trade with AUD/JPY binary calls for TP at 92.012; keep tight hedge using put spreads

On intraday charts, bullish engulfing like candle appeared on declines. This bullish candle with reasonable volumes on downswings suggests that the bulls in this pair started showing buying interest.

Slow stochastic does not suggest oversold pressure though as an attempt of %D line crossover is seen near 80 levels but failed to evidence this. (%D line at 64.0229 & %K line at 60.7045).

Rising prices are confirmed with the substantial volumes but not on falling side.

So please be advised that on speculation basis for an intraday trading perspective we recommend buying binary call options for targets at 92.012 and even at 92.186 levels.

On hedging grounds, we are advocating bear put spreads to arrest downside risks as the major trend seems to be downtrend.

On weekly chart oscillators suggest downward convergence with the falling prices. RSI (14) converges price slumps at 38.9917. While stochastic shows %D line crossover but not significant though yet above 20 levels.

With a view being bearish bias we recommend buying 7D (1%) In-The-Money -0.69 delta put option while sell 7D (-1%) Out-Of-The-Money put options for a net debit.