Patterns: AUD/JPY, GBP/JPY
|AUD/JPY 4H Chart: Testing support cluster
The Australian Dollar has revealed a new junior ascending channel pattern against the Japanese Yen. The channel pattern guided the currency pair during last week's trading session.
The exchange rate is currently testing a support cluster formed by the 50-, 100– and 200-hour SMAs and the combination of the weekly and the monthly pivot points at 78.73.
If support cluster holds, the currency exchange rate will aim for the upper boundary of the junior ascending channel at 79.74.
On the other hand, if the rate passes the support cluster, bearish traders could drive the pair towards the weekly S1 at 78.21 during the following trading sessions.
GBP/JPY 4H Chart: Set for breakout
The British Pound has maintained a medium-term ascending channel pattern against the Japanese Yen since the beginning of January. This medium-term channel has guided the currency pair near a November high level at 148.58 during this time period.
The exchange rate was trading near the bottom border of the channel pattern during the morning hours of today's trading session and could be set for a breakout.
If this breakout occurs, bearish traders could push the currency exchange rate towards a psychological level at 144.00.
However, traders are advised to be careful before taking a trade because of the political event in the United Kingdom.
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