AUD/JPY Price Analysis: Battles two-week-old falling channel resistance above 76.00
- AUD/JPY wobbles near one-week high while trying to overcome the bearish chart pattern.
- Strong RSI conditions favor the bulls, key SMAs add to the downside filters.
AUD/JPY eases from a one-week high to 76.14 amid the initial Asian session on Tuesday. Even so, the pair stays near the resistance line of a falling trend channel established since November 11 amid strong RSI.
That said, buyers await a clear break of 76.25 to enter fresh long positions targeting the November 16 high near 76.80 and the monthly peak of 77.10.
Though, any further upside past-77.10 needs to overcome September 10 top surrounding 77.70 before probing the yearly high near 78.50.
Meanwhile, a 100-bar SMA level of 75.67 can offer immediate support during the quote’s downside past-76.00 round-figure. It should, however, be noted that the 200-bar SMA and support line of the stated channel, around 75.25/20, will challenge the AUD/JPY bears afterward.
If at all the downside momentum extends below 75.20, the 75.00 threshold can act as a buffer before directing the AUD/JPY sellers to the November 04 low close to 74.10.
AUD/JPY four-hour chart
Trend: Further upside 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.
