AUD/JPY 2 Day Up Streak Snapped, in a Downtrend Over Past 30 Days; Price Base in Formation Over Past 14 and 90 Days

AUD/JPY Price Recap

The choppiness in the recent daily price action of AUD/JPY continues; to start today, it comes in at a price of 73.4 US dollars, up 15 pips (0.21%) since yesterday. This move happened on fewer tick price changes which may be a proxy for volume, as yesterday’s total tick count was down 2.13% from the day before — and down 32.83% from the same day the week before. Relative to other instruments in the Forex asset class, AUD/JPY ranked 10th yesterday in terms of percentage price change. Let’s take a look at price chart of AUD/JPY.

AUD/JPY Technical Analysis

Coming into today AUD/JPY is now close to its 20, 50, 100 and 200 day averages, located at 74.3522, 74.8209, 74.2903 and 74.3793 respectively, and thus may be at a key juncture along those timeframes. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 100 day average, which is 89 pips away. It should be noted, though, the 100 day simple moving average turned upwards, which may be a bullish sign. Volatility for AUD/JPY has exploded over the past two weeks relative to the past 30 days, which technical traders will want to note. Traders interested in playing the ranges may wish to consider that the unclear trend on the 14 day chart, coupled with price being close to the upper bollinger band may be signalling a short opportunity. The clearest trend exists on the 30 day timeframe, which shows price moving down over that time. Price action traders in particular will want to note that the 14 and 90 day periods appears to show price forming a base; this could indicate that a support/resistance level is developing. Or to simplify this another way, note that out of the past 10 days AUD/JPY’s price has gone up 5 them.

The View From Around the Web

We’re seeing some traders come out with interesting conviction on AUDJPY, with 9 buy signals on our radar and 15 sell signals. This imputes a buy/sell ratio of 0.6, which is bearish. As for the rationale, technical traders seem to be citing the appearance of a fibonacci technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

We see a breakout of the ascending channel, However, the trade still has a Bullish bias, I was waiting for a bounce on the 0.328 fib level to confirm my Bullish bias so at this point, I knew I needed to go long….Waited for a retracement of the 0.50 fib level and entered a buy….TP is set below the 1.272 Fib level Sl is below the previous low