- AUD/JPY prints minor gains in the Asian session.
- Bears will reign control if price decisively breaks 84.30.
- Momentum oscillator tilts in favor of downside momentum.
The AUD/JPY cross-currency pair extends the previous day’s decline on Thursday. The pair hovers in a close trading band while swinging back and forth.
At the time of writing, AUD/JPY trades at 84.25, up 0.01% for the day.
AUD/JPY daily chart
-637594868687621304.png)
On the daily chart, the AUD/JPY has been moving in a broader rectangle formation since late April. The trading range confides in between the 84.20-85.20 band. Traders create long positions near the lower channel, while selling pressures emerge at the upper trading range.
If price breaks 84.20, then it could bring fresh selling opportunities for the bears with the first target at the previous day’s low at 84.07.
The Moving Average Convergence Divergence (MACD) indicator reads above the midline, with bearish crossover. Any downtick in the MACD could amplify the downside momentum and bring the levels last seen in May back into action.
In doing so, AUD/JPY bears would attempt to test the 83.85 horizontal support level.
The next area of the target could be found at the low of April 26 at 83.50, which also marks the break of the above mentioned rectangle formation.
Alternatively, if price sustains above the session’s high, then it could crawl back to the 84.55 horizontal resistance level followed by the previous day’s high at 84.75.
The price action suggests a continuation of the previous trading move inside the rectangle formation. AUD/JPY bulls would target the June 15 high at 84.93.
AUD/JPY additional levels
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended content
Editors’ Picks
AUD/USD hovers around 0.6500 amid light trading, ahead of US GDP
AUD/USD is trading close to 0.6500 in Asian trading on Thursday, lacking a clear directional impetus amid an Anzac Day holiday in Australia. Meanwhile, traders stay cautious due ti risk-aversion and ahead of the key US Q1 GDP release.
USD/JPY finds its highest bids since 1990, near 155.50
USD/JPY keeps breaking into its highest chart territory since June of 1990 early Thursday, testing 155.50 for the first time in 34 years as the Japanese Yen remains vulnerable, despite looming Japanese intervention risks. Focus shifts to Thursday's US GDP report and the BoJ decision on Friday.
Gold price lacks firm intraday direction, holds steady above $2,300 ahead of US data
Gold price remains confined in a narrow band for the second straight day on Thursday. Reduced Fed rate cut bets and a positive risk tone cap the upside for the commodity. Traders now await key US macro data before positioning for the near-term trajectory.
Injective price weakness persists despite over 5.9 million INJ tokens burned
Injective price is trading with a bearish bias, stuck in the lower section of the market range. The bearish outlook abounds despite the network's deflationary efforts to pump the price. Coupled with broader market gloom, INJ token’s doomed days may not be over yet.
Meta Platforms Earnings: META sinks 10% on lower Q2 revenue guidance Premium
This must be "opposites" week. While Doppelganger Tesla rode horrible misses on Tuesday to a double-digit rally, Meta Platforms produced impressive beats above Wall Street consensus after the close on Wednesday, only to watch the share price collapse by nearly 10%.