AUD/JPY Price Analysis: Weekly resistance line guards recovery moves toward 78.00
|- AUD/JPY fades recovery moves from 100-hour EMA below 78.00.
- A falling trend line from Monday’s high question the buyers amid bullish MACD.
- Sellers will stay away from beyond 50% Fibonacci retracement.
AUD/JPY eases to 77.88 during the initial Asian session on Thursday. In doing so, the aussie cross can’t keep the bounce off 100-hour EMA. Even so, bullish MACD keeps the buyers hopeful unless the quote drops below Thursday’s low.
However, a clear break of a descending trend line from Monday, at 78.00 now, will be necessary for the bulls to retake control.
While in command, the AUD/JPY optimists may initially attack the weekly top surrounding 78.45 before heading to the May 2019 peak close to 78.95.
Alternatively, a downside break of the 100-hour EMA level, currently near 77.75, will need validation from the recent low of 77.53 ahead of challenging Friday’s bottom close to 77.10.
In a case where the bears fail to step back from 77.10, also dominate past-77.00, the August 26 peak of 76.76 will be in the spotlight.
AUD/JPY hourly chart
Trend: Pullback expected
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