Patterns: AUD/JPY and GBP/JPY
|AUD/JPY 4H Chart: Likely to maintain channel
The Australian Dollar has surged by 10.45% in value against the Japanese Yen since the middle of March. The currency pair tested the upper boundary of a descending channel pattern at 67.08 on March 31.
All things being equal, the exchange rate will most likely continue to trade in the descending channel pattern. The AUD/JPY pair could target the 60.05 area during the following trading sessions.
However, given that the currency exchange rate is currently trading near the upper border of the channel pattern, a breakout might occur within this week's trading sessions.
GBP/JPY 4H Chart: Sets for breakout
The British Pound has surged by 8.14% in value against the Japanese Yen since the middle of March. The currency pair breached the 50– and 100– period SMAs during this period.
The exchange rate is currently trading near the upper border of a descending channel pattern and could be set for a breakout.
If the breakout occurs, a surge towards a resistance cluster formed by the weekly R1 and the monthly R2 at 140.40 could be expected during the following trading sessions.
However, if the descending channel holds, the currency exchange rate will most likely continue to trade in the channel pattern in the shorter term.
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