AUDJPY:- A New Opportunity Arises
AUDJPY:- The rejection from 84.000 did occur and the 200 pip decline was achieved as the pair went on to make a new low at 80.500 before starting this minor pullback period we are currently seeing. Across the JPY board, we can see that February crushed its counter-part currencies with big sudden rejections, and that price action could still be holding a lot of weight against its counterparts.
What to expect from current price will be determined by a break or bounce scenario from the weekly key level of 82.000 with both bullish and bearish scenarios valid options. A sustained break above on a daily time would see us push on to take the previous lower swing high at 82.600 and then further to 83.200.
Higher time frame analysis suggests there could still be further weakness to be had, and therefore my particular bias would be for a rejection of 82.000 in alignment with our favoured Fibonacci region helping to provide structure to the trade. The downside target regions would be the next level of monthly support at 80.000 upon any rejection set ups
AUDJPY:- The pair continued its decline from the previous post and fell to the weekly support level of 82.000. After forming a retracement phase alongside a lot of the JPY pairs we could now look for a rejection and a further continuation to occur. We have spiked and closed below the 84.000 level of 2 previous days and now look to making a third rejection of the level.
If the price was to close on a daily timeframe back below the monthly key level we may see a rapid 200 pip decline towards the previous lows and then further heading towards the psychological level of 80.000. Currently responding off the Weekly MA we are being guided to the downside with a strong dynamic area of resistance and therefore I would expect a to see a retest of the previous lows.