The AUDJPY pair is in a bearish market in both outlooks
Sellers may have a temporal dominance in the market as the selling pressure is exhausted.
AUDJPY Weekly Price Analysis – December 18
At the moment the AUDJPY pair is facing the downside; a possible reversal is imminent at the current support level of $91.348. Meanwhile, the pair might finish the downward correction and start reversing soon. If this is achieved, the target may possibly be the $100.000 upper resistance trend line.
AUDJPY Market
Key Levels:
Resistance levels: $96.000, $97.000 $98.000
Support levels: $92.000, $91.000, $90.000
AUDJPY Long-term trend: Bearish
The AUDJPY pair is in a downward move in its long-term perspective as can be seen undeniably from the daily chart. The sustained bearish pressure at the $92.308 low value during the previous session had made it capable for the price to remain in a downward trend.
The journey down south continues as the daily chart opens today with a bearish candle at the $91.348 support value below the supply moving average lines. This is an indication of a more bearish impact on the currency pair.
The impulse move from sellers further dropped the price of the Yen down to the $91.215 support level at the time of writing this article. Should the bulls change their orientation and exchange hands with the short traders at the mentioned support value, the pair may likely reverse and face the upside.
However, the selling pressure is exhausted and price rejection is imminent at the $91.348 low level as indicated by the daily stochastic which is pointing down at around level 10% in the oversold region. This will bring the emergence of the long traders to the market to resume the bullish trend, if this is achieved, the $100.00 resistance value might be the target in the nearby days in its long-term scenario.
AUDJPY Medium-term trend: Bearish
The momentum on the medium-term time frame is also distinctly bearish. Nevertheless, it seems the bulls will take over the price of AUDJPY soon and push us higher as the market now trades at the oversold region. The bearish pressure at the $92.183 support value during yesterday’s session has contributed to its downward trend.
Today’s 4-hourly chart opens with a bearish candle at the $91.951 support value below the two EMAs. This suggests that the sellers’ inflow is higher and more active in the market at the present.
An increase in selling pressure further dropped the price of the Yen down to the $91.215 low mark. This was overridden by the bulls at the $91.465 supply value as a pullback to resume the uptrend.
Hence, we have a bullish bias that the AUDJPY price will continue the bullish trend as the market is pointing up in the oversold region. If the buying pressure should increase there may be a potential rise in the price of the Yen and this might possibly reach the $100.000 supply level in the coming days in its medium-term outlook.
Note: Forexschoolonline.com is not a financial advisor. Do your research before investing your funds in any financial asset or presented product or event. We are not responsible for your investing results.
Leave a Reply