Technical Analysis – AUDJPY rebounds from near key support zone
July 3, 2023 1:27 pm
AUDJPY entered a sliding mode after it hit resistance at 97.65 on June 19. That said, the slide was stopped near the 95.15 key support zone, which offered strong resistance in the recent past and specifically during October. Combined with the fact that the price structure remains one of higher highs and higher lows above the uptrend line drawn from the low of March 24 and above all the plotted exponential moving averages (EMA), this keeps the near-term picture positive.
Both the RSI and the MACD detect upside speed, which adds to the notion of further advances. The former, already above 50, has rebounded, signaling accelerating momentum, but the latter remains below its trigger line, suggesting that a break above 97.65 may be a better signal for the continuation of the prevailing uptrend.
Should the bulls reach and breach that zone, a higher high will be confirmed and thus, they could aim for the 98.50 territory, marked as resistance by the peak of September 13. If they don’t stop there, the uptrend may stretch towards the psychological round number of 100.00, which was last seen back in December 2014.
The move confirming that the bears have stolen all the bulls’ weapons may be a dip below the critical zone between 92.15 and 93.00, around which the pair has changed hands several times during the last year or so. Such a dip would also confirm the break below the aforementioned uptrend line and may pave the way towards the lows of May 31 and June 1 at around 90.25. If there are no buyers to be found there, the slide may extend towards the low of May 4 at 89.15.
AUDJPY entered a sliding mode after it hit resistance at 97.65 on June 19. That said, the slide was stopped near the 95.15 key support zone, which offered strong resistance in the recent past and specifically during October. Combined with the fact that the price structure remains one of higher highs and higher lows above the uptrend line drawn from the low of March 24 and above all the plotted exponential moving averages (EMA), this keeps the near-term picture positive.
Both the RSI and the MACD detect upside speed, which adds to the notion of further advances. The former, already above 50, has rebounded, signaling accelerating momentum, but the latter remains below its trigger line, suggesting that a break above 97.65 may be a better signal for the continuation of the prevailing uptrend.
Should the bulls reach and breach that zone, a higher high will be confirmed and thus, they could aim for the 98.50 territory, marked as resistance by the peak of September 13. If they don’t stop there, the uptrend may stretch towards the psychological round number of 100.00, which was last seen back in December 2014.
The move confirming that the bears have stolen all the bulls’ weapons may be a dip below the critical zone between 92.15 and 93.00, around which the pair has changed hands several times during the last year or so. Such a dip would also confirm the break below the aforementioned uptrend line and may pave the way towards the lows of May 31 and June 1 at around 90.25. If there are no buyers to be found there, the slide may extend towards the low of May 4 at 89.15.
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