AUD/JPY Price Analysis: 50-hour EMA probes recovery moves inside short-term falling channel
- AUD/JPY fizzles upside momentum from three-week low of 76.10 marked on Thursday.
- Buyers may wait for the channel’s break before cheering the bullish MACD.
- Late-August low can act as additional downside support.
AUD/JPY fades recovery moves from the multi-day low around 76.60 during the early Friday morning in Asia. Even so, the pair confronts 50-hour EMA amid bullish MACD and hence buyers remain hopeful.
As a result, a clear break of 76.64 immediate EMA resistance needs to be backed by the sustained rise beyond a three-day-old descending trend channel’s upper line, at 76.70 now, to convince buyers.
Following that, bulls can attack 77.00 while the 61.8% Fibonacci retracement of AUD/JPY fall from September 10 to 17, near 77.11, followed by the September 15 top of 77.50, may gain market attention afterward.
Alternatively, 76.30 and the recent low near 76.10 can probe the pair’s further selling ahead of highlighting the aforementioned channel’s support line, currently around 75.90.
If at all the sellers dominate past-75.90, August 20 bottom surrounding 75.60 and the previous month’s low of 75.10 should return to the charts.
AUD/JPY hourly chart
Trend: Further recovery expected
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
