AUD/JPY Price Analysis: Oscillates around 91.50s after solid gains, remains sideways
- Doji at 50-day EMA sparked a reaction by AUD bulls, lifted price by almost 2%.
- AUD/JPY must reclaim the May 2 daily high of 92.43 for bullish continuation, followed by the YTD high of 93.04.
- Neutrally biased AUD/JPY tilted upwards, downside risks lie below the May 3 daily high of 91.06.
The AUD/JPY oscillates around 91.50s after posting solid gains on Monday as the Asian session begins. Last Friday’s doji at around the 50-day Exponential Moving Average (EMA) sparked a reaction by Aussie (AUD) bulls, which lifted the price by almost 2%. At the time of writing, the AUD/JPY is trading at 91.59.
AUD/JPY Price Action
AUD/JPY jumped from around 89.80s, erasing last Wednesday’s drop amidst sideways price action in the cross-currency pair. The AUD/JPY is neutrally biased, though tilted upwards; it would need to reclaim the May 2 daily high of 92.43 for a bullish continuation.
If that scenario plays out, the AUD/JPY next resistance would be the year-to-date (YTD) high at 93.04. A breach of the latter will expose November’s 16 high of 94.65, followed by November’s 8 swing high of 95.20.
Otherwise, AUD/JPY downside risks lie below the May 3 daily high of 91.06, which would expose the 91.00 figure. Once the spot price pierces the 90.00 handle, the 200-day EMA at 90.70 will be tested. If this level is taken out, the AUD/JPY next support would be the 100-day EMA at 90.38, followed by the 90.00 mark.
AUD/JPY Daily Chart
Author
Christian Borjon Valencia
FXStreet
Christian Borjon began his career as a retail trader in 2010, mainly focused on technical analysis and strategies around it. He started as a swing trader, as he used to work in another industry unrelated to the financial markets.
