Talking Points
- AUDJPY testing key near-term resistance confluence- immediate long bias at risk below
- Updated targets & invalidation levels
- Event Riskon TapThisWeek
AUDJPY Weekly
AUDJPY Daily
Chart Created Using FXCM Marketscope 2.0
Technical Outlook
- AUDJPY approaching resistance confluence ahead of 92.00
- Breach targets 92.26 & the upper median-line parallel / 93.22
- Broader bearish invalidation at 94.18
- Support at 90.32 backed by 88.96-89.15 & 88.27
- Daily RSI approaching 40 resistance- Pending resistance trigger in play
- Event Risk Ahead: China 2Q GDP & BoJ tonight
AUDJPY 30min
Notes: AUDJPY has been trading within the confines of a well-defined ascending median-line formation off last week’s lows with the rally now approaching former daily support turned resistance. The rally is at risk here near-term sub-92, but the trade remains constructive while within this formation with a breach higher targets objectives at 92.26, 92.66 & 93.22.
Interim support rests at Friday’s close at 91.24 backed by the lower MLP (bullish invalidation). A break below looks for more significant support at 90.32/45 which is defined by the weekly low and the 2015 low-day close. A quarter of the daily average true range yields profit targets of 29-31pips per scalp. Event risk from the respective economies is somewhat limited but be on the lookout for the BoJ & China data tonight with the releases likely to fuel added volatility in risk sensitive pairs.
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Relevant Data Releases
Other Setups in Play:
- Webinar: EUR & JPY Struggle Post Greek Deal- Weekly Setups in Focus
- AUDNZD Pullback at Key Inflection Point- Bearish Sub 1.1250
- Webinar: Greek Gaps in Focus- Technical Setups in Play this Week
- Key Levels to Know on USD Majors Heading into NFPs and July Trade
- CADJPY Short Scalps Favored Sub-99.00 on Failed Gap Fill
- Webinar: Greece Charges Euro Gap & Snapback- USDJPY Remains at Risk
---Written by Michael Boutros, Currency Strategist with DailyFX
Follow Michaelon Twitter @MBForex,contact him at mboutros@dailyfx.com or Click Here to be added to his email distribution list
Join Michael for Live Scalping Webinars on Mondays on DailyFX at 12:30 GMT (8:30ET)
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