News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
Real Time News
  • RT @FxWestwater: Asia AM - Japanese Yen Outlook: $USDJPY Drops on Haven Flows as Traders Brace for #FOMC Link: https://www.dailyfx.com/forex/fundamental/daily_briefing/daily_pieces/asia_am_briefing/2021/07/27/Japanese-Yen-Outlook-USDJPY-Drops-on-Haven-Flows-as-Traders-Brace-for-FOMC.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Westwater&utm_campaign=twr htt…
  • Please join @ddubrovskyFX at 20:00 EST/00:00 GMT for a webinar on what other traders' buy/sell bets say about price trends. Register here: https://t.co/AzOQip9B3r https://t.co/tYPv6QYQIG
  • US Dollar Outlook: Fed Decision Due - Will it Spark Fireworks? The $DXY edged lower on Tuesday with $EURUSD, $GBPUSD, and $USDJPY all feeling Dollar weakness. Will the Fed catch markets off-guard with another hawkish surprise tomorrow? Link to Analysis - https://www.dailyfx.com/forex/fundamental/us_dollar_index/usd_trading_today/2021/07/27/us-dollar-outlook-fed-decision-due-will-it-spark-fireworks.html https://t.co/iTt0jJiuUC
  • Crude oil prices are trading largely unchanged following last week's rebound as the Delta variant of Covid and Chinese regulatory measures temper the near-term demand outlook. Get your market update from @FxWestwater here:https://t.co/T3oQa9qksd https://t.co/qgDReDbtcd
  • USD/JPY price action has weakened sharply on the session but is searching for support. Get your $USDJPY market update from @RichDvorakFX here:https://t.co/s6baPFYuS3 https://t.co/1ze3cKJytb
  • RT @BrendanFaganFx: Nasdaq 100 Outlook: Stocks Decline Despite Stellar Tech Earnings, All Eyes Shift to Fed $AAPL $MSFT $GOOG $QQQ $NDX L…
  • $SPX put in for an impressive midday recovery this past session leaving a large lower wick. The scale of the lower wicks consistently larger than corrections off highs https://t.co/BGkiFUwYsk
  • 🇰🇷 Consumer Confidence (JUL) Actual: 103.2 Previous: 110.3 https://www.dailyfx.com/economic-calendar#2021-07-27
  • Forex Update: As of 20:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.53% 🇬🇧GBP: 0.44% 🇨🇭CHF: 0.13% 🇦🇺AUD: -0.32% 🇨🇦CAD: -0.46% 🇳🇿NZD: -0.60% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/foLJDv5tkA
  • US API Stock Changes Crude -4.728M Cushing -0.126M Gasoline -6.226M Distillate -1.882M #OOTT $CL_F
AUD/JPY Targets Support Ahead of Australian Employment Report

AUD/JPY Targets Support Ahead of Australian Employment Report

Michael Boutros, Strategist
  • AUD/JPY in consolidation ahead of Australian Employment Report
  • Updated targets & invalidation levels
  • Check out FXCM’s Forex Trading Contest!

AUDJPY 30min

AUD/JPY Targets Support Ahead of Australian Employment Report

Chart Created Using FXCM Marketscope 2.0

Technical Outlook: AUDJPY has been trading within the confines of a descending median-line formation extending off the March & April highs with the pair in consolidation after stretching into a low of 78.17 earlier this month. The upper median-line parallel converges on the topside of this consolidation range at 80.54/68 – a region also defined by the April low, the monthly open and last week’s high. We’ll reserve this threshold as our bearish invalidation level with a breach above the 81.04 needed to validate a larger scale reversal targeting 81.95 & more significant resistance into 82.43/57.

A break below the monthly low-day close at 78.82 keeps the short-bias in focus targeting at 78.17 & the yearly low at 77.57. Heading into tonight’s Australian employment data, I would be looking for near-term weakness to offer a test of support – look for a reaction there. Typically these patterns are continuation patterns but I wouldn’t be surprised to see a near-term reversal given the respective Aussie & Yen positioning vs the dollar. Continue tracking this setup and more throughout the week- Subscribe to SB Trade Desk and take advantage of the DailyFX New Subscriber Discount.

Avoid the pitfalls of near-term trading strategies by steering clear of classic mistakes. Review these principles in the "Traits of SuccessfulTraders” series.

AUD/JPY Targets Support Ahead of Australian Employment Report
  • A summary of the DailyFX Speculative Sentiment Index (SSI)shows traders remain net long AUDJPY- the ratio stands at just 2.75 (76% of traders are long)- bearishreading
  • Yesterday the ratio was 2.73; long positions are 1.4% higher than yesterday and 6.1% above levels seen last week
  • Open interest is 1.2% higher than yesterday and 8.6% above its monthly average.
  • SSI has typically not held at these extremes for too long and over the past year you can see pullbacks off these levels are typically accompanied by a reprieve for the broader downtrend- Bottom line: risk remains for a bounce before we break lower.

Why and how do we use the SSI in trading? View our video and download the free indicator here

Relevant Data Releases This Week

AUD/JPY Targets Support Ahead of Australian Employment Report

Other Setups in Play:

Looking for more trade ideas? Review DailyFX’s Top Trading Opportunity of 2016

---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 and Tuesday, Wednesday & Thursday’s on SB Trade Desk at 12:30 GMT (8:30ET)

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES