Loading...
by Charalambos Pissouros

AUD/JPY Pulls Back, But Still in an Uptrend

AUD/JPY traded lower yesterday, after it hit resistance fractionally above 83.00. However, the price structure remains of higher peaks and higher troughs above the short-term uptrend line taken from the low of the 26th of October and thus, we would consider the near-term outlook to be cautiously positive for now.

Even if the latest slide continues below 82.35, we would still see a decent chance for the bulls to take charge from near the aforementioned trend line. If they do so and manage to bring the rate back above 82.35, then we may see them aiming for another test at around 83.00. A break above 83.00 would confirm a forthcoming higher high and may initially aim for the 83.25 hurdle, defined by the high of the 31st of July.

Taking a look at our short-term oscillators, we see that the RSI exited its above-70 territory and now looks to be heading towards 50, while the MACD, although positive, lies below its trigger line and points south as well. These indicators suggest that the current setback may continue for a while more, perhaps for a test near the short-term uptrend line.

In order to start examining the case for a short-term trend reversal to the downside, we would like to see a clear dip below 81.95. Such a move could encourage the bears to drive the battle towards the 81.30 area, the break of which could extend the slide towards 81.00.

AUDJPY 4-hour chart technical analysis

Disclaimer:

The content we produce does not constitute investment advice or investment recommendation (should not be considered as such) and does not in any way constitute an invitation to acquire any financial instrument or product. JFD Brokers, its affiliates, agents, directors, officers or employees are not liable for any damages that may be caused by individual comments or statements by JFD Brokers analysts and assumes no liability with respect to the completeness and correctness of the content presented. The investor is solely responsible for the risk of his investment decisions. Accordingly, you should seek, if you consider appropriate, relevant independent professional advice on the investment considered. The analyzes and comments presented do not include any consideration of your personal investment objectives, financial circumstances or needs. The content has not been prepared in accordance with the legal requirements for financial analyzes and must therefore be viewed by the reader as marketing information. JFD Brokers prohibits the duplication or publication without explicit approval.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 68% of retail investor accounts lose money when trading CFDs with the Company. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Please read the full Risk Disclosure

WEEKLY FINANCIAL NEWSLETTER
RIGHT INTO YOUR MAILBOX!
SUBSCRIBE TO JFD'S STRATEGIC REPORT