AUD/JPY Price Analysis: Gains momentum as bullish-engulfing pattern emerges

AUD/JPY gains 0.31% and forms a bullish-engulfing pattern, indicating potential for further upside.
A daily close above 95.00 could open the door for buyers to target 96.92 and the YTD low of 97.67.
If AUD/JPY struggles at 95.00, it could expose Monday's low of 94.32 and potentially shift to a neutral-downward trend.

Christian Borjon Valencia FXStreet

AUD/JPY snapped three days of losses on Monday, gaining 0.31%, while forming a bullish-engulfing two-candle chart pattern, which suggests that further upside is warranted. The cross-pair exchanges hands at 94.82 as the Asian session begins, almost unchanged.

The daily chart portrays the AUD/JPY remains in consolidation but at the brisk of achieving a daily close above 95.00, which could open the door for further upside. If buyers conquer that level, the next ceiling level would be the September 29 high at 96.92 before challenging the year-to-date (YTD) low of 97.67.

On the other hand, if AUD/JPY struggles at 95.00, that could expose Monday’s low of the day at 94.32, which, once cleared, the cross would slump inside the Ichimoku Cloud (Kumo). The next stop would be the bottom of the Kumo at 93.80/84, and once surpassed, the pair will shift to neutral-downwards.

AUD/JPY Price Action – Daily chart

AUD/JPY Technical Levels

AUD/JPY

Overview
Today last price	94.82
Today Daily Change	0.20
Today Daily Change %	0.21
Today daily open	94.62

Trends
Daily SMA20	95.08
Daily SMA50	94.65
Daily SMA100	94.79
Daily SMA200	92.62

Levels
Previous Daily High	94.84
Previous Daily Low	94.42
Previous Weekly High	95.66
Previous Weekly Low	94.14
Previous Monthly High	96.92
Previous Monthly Low	93.59
Daily Fibonacci 38.2%	94.58
Daily Fibonacci 61.8%	94.68
Daily Pivot Point S1	94.41
Daily Pivot Point S2	94.2
Daily Pivot Point S3	93.99
Daily Pivot Point R1	94.83
Daily Pivot Point R2	95.05
Daily Pivot Point R3	95.25

Author

Christian Borjon Valencia

FXStreet

Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.

AUD/USD bulls regain control above 0.6950 amid USD retreat

AUD/USD regains traction and extends the previous day's bounce from the weekly low, aiming for 0.7000 in Asia on Friday. The overnight pullback in US bond yields keeps the US Dollar below an 18-month high, which in turn offers some support to the pair. Meanwhile, hawkish RBA expectations also keep the major underpinned.

USD/JPY holds gains near 158.00 after Japan's weak Household Spending data

USD/JPY clings to gains around 158.00 after data showed on Friday that Japan's Household Spending fell for the ninth straight month, undermining the Japanese Yen. Meanwhile, the US Dollar remains depressed as the overnight fall in US bond yields counters a hawkish Fed and geopolitical uncertainties, could cap any downside in the pair.

Gold remains range-bound below $4,200

Gold has given up some ground after an initial bullish attempt to reach weekly highs, returning to below the $4,200 mark per troy ounce on Friday. The US Dollar’s strong upside momentum, combined with rising US Treasury yields across the curve, seems to keep further gains in the yellow metal under scrutiny.

Has Bitcoin really escaped the macro forces it was built to fight?

Over 17 years ago, Satoshi Nakamoto designed Bitcoin (BTC) on the back of a global financial crisis as an alternative to the global monetary system outside the control of central banks, governments and traditional intermediaries. This raises a key question: has Bitcoin really become independent of the macroeconomic forces it was built to challenge?

The Euro is not the sick man of Europe. France's bond market is

EUR/USD remains under pressure, near the 17-month low of 1.1161 reached on Monday. The pair has lost more than 7% since its yearly peak, as concerns over France's public finances increasingly weigh on the single currency. But behind the weakness of the Euro (EUR), the problem does not necessarily lie with the European economy as a whole.