AUD/JPY Price Analysis: H1 bears moving into gear
|- AUD/JPY bulls are in charge, for now, while bears get ready to move in.
- The hourly chart's price action is forming a bearish structure, in line with the meanwhile daily outlook.
As illustrated below, the price of AUD/JPY is with the bulls for the time being, but the prior support would be expected to act as a resistance and failure on the retest opens risk to the downside.
AUD/JPY H1 chart
The 61.8% ratio is in confluence with this area of potential resistance located near 81 the figure. Before there, however, 80.95 is under pressure and could hold up as a 50% mean reversion level.
AUD/JPY daily chart
From a daily perspective, the downside is compelling considering the W-formation which is a high completion rate reversion pattern. The price would typically retest the neckline of the formation, which in this case, is located near 80.56.
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