AUDJPY: Low Dips May Continue

The currency pair has begun its low dips.
Buyers are still dominating the market slightly.

AUDJPY Weekly Price Analysis – October 20

At the moment, the AUDJPY has just begun its low dips as the bears aim to drop the market price further. In case the bears can defend the buying pressure and break down the $90.11 support level, the low dips may continue to hit the $88.00 lower support level, resulting in a sell opportunity for the short traders.

AUDJPY Market
Key Levels:
Resistance levels: $99.00, $100.00, $101.00
Support levels: $88.00, $87.00, $86.00

AUDJPY Long-term Trend: Bullish (Daily Chart)

The AUDJPY market has just begun its low dips, and this may continue as the bears are determined to drop the Yen price further in the higher time frame.

The daily structure looks bullish, but the low dips have just started above the moving averages, indicating a bullish trend; the bears are gradually returning, and this may continue.

The sustained bullish pressure to a $100.51 resistance level in the previous session has enabled the bulls to remain dominant in its recent low.

The bulls are about to lose momentum as the short traders resumed the low dips and dropped the AUDJPY price to a low of $100.28 mark as the daily chart opens today, suggesting that the bears are returning gradually to stage a play and this may continue.

The bears continued with the dip lows and dropped the Yen price to the $100.23 support level as the journey down south continued.

However, the currency pair could slide further if the sell traders increase their speed and break down the $94.16 support level; the $90.11 previous low dip might be retested, maintaining further selling potential for the short traders.

Additionally, the momentum indicator shows that the AUDJPY price signal is also moving downward at around level 63% as we expect the low dips to continue, reaching the $88.00 lower support level in the days ahead in its long-term perspective.

AUDJPY Medium-term Trend: Bullish (4H Chart)

The medium-term chart of AUDJPY suggests the low dips may continue as the bears resume the downward trend. The price movement of AUDJPY is currently above the moving average, indicating a bullish trend.

The sustained bullish pressure at the $100.62 supply level in the past session has enabled the pair to remain in an uptrend in its recent low.

The bears dropped the pair to a $100.27 low value above the EMA-50 as the low dips began, shortly after the commencement of the 4-hourly chart opens.

Sellers’ activities further dropped the market price of AUDJPY to a low $100.23 level, suggesting the returns of the bears for further drops.

The daily stochastic pointing down at around level 56% approaching the oversold region indicates that the AUDJPY low dips may continue and may likely reach the $93.70 low mark and extend to the $92.00 lower support level in the nearby days as it continues the low dips in its medium-term outlook. Thus, sellers must wait for this action to occur, before taking a position.

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