AUD/JPY Price Analysis: Downtrend persists, pair at lows since August 2023
- AUD/JPY remains in a downtrend and has declined to lows in a year.
- The pair could be due for a bounce as the RSI is in oversold territory, but the MACD is still rising, indicating continued downside pressure.
- Key support and resistance levels to watch are 95.00 and 93.00, respectively.
Following a decline of almost 2% in Monday's session, the AUD/JPY pair is extending its losses and has fallen to its lowest level since August 2023. The downtrend is technically intact.
The Relative Strength Index (RSI) remains below 30, indicating that the pair is technically oversold and this could lead to a short-term bounce. However, the Moving Average Convergence Divergence (MACD) is rising, indicating that the downtrend could continue.
AUD/JPY daily chart
The AUD/JPY pair is currently trading below its 20,100 and 200-day Simple Moving Averages (SMA) which confirms an overall bearish outlook. A break below the 93.00 level could open the door to a further decline, with the next major support level at 92.00. On the upside, the pair faces resistance at 95.00 - 96.00. A break above might improve somewhat the negative outlook.
Author
Patricio Martín
FXStreet
Patricio is an economist from Argentina passionate about global finance and understanding the daily movements of the markets.
