AUD/JPY Price Analysis: Bears look for entries below 77.00
- AUD/JPY breaks two-week-old support line after bulls step back in last three days.
- Bearish MACD favors sellers looking for a clear break below short-term horizontal support.
AUD/JPY stays depressed around 77.20 during the early Tuesday morning in Asia. In doing so, the pair keeps the downside break of a short-term support line break amid bearish MACD signals.
However, a horizontal support line from November 25 questions the pair’s further downside around 77.00, a break of which can drag the quote to a nine-day-long ascending trend line, at 76.75 now.
While AUD/JPY weakness past-76.75 opens the door for the bears, the 76.00 round-figure and November 19 low near 75.40 could return to the charts.
Alternatively, a downward sloping trend line from Thursday, at 77.50 now, restricts the pair’s immediate upside ahead of the monthly peak and September 10 high, respectively near 77.55 and 77.75.
Although the 78.00 round-figure may offer breathing space to the AUD/JPY bulls beyond 77.75, the yearly top of 78.46 can lure them afterward.
AUD/JPY four-hour chart
Trend: Further weakness 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.
