AUD/JPY Price Analysis: Surpasses Ichimoku Cloud, struggles at 96.00 with bears looming
- AUD/JPY advanced sharply on Monday and broke above the Kumo.
- Even though the cross shifted neutral-upwards, downside risks remain.
- Upwards above 96.00, as bulls target 97.00; otherwise, bears will step in and push prices towards 95.00.
On Monday, the AUD/JPY climbed 0.73% amidst a risk-on impulse as portrayed by Wall Street printing solid gains. The cross-pair breached the Ichimoku Cloud (Kumo), turning neutral bullish biased, but needs to reclaim the November 30 latest cycle low of 97.23 before cementing the uptrend. At the time of writing, the pair is trading at 95.96, almost flat as Tuesday’s Asian session begins.
The AUD/JPY daily chart sees the pair as neutral to bullish biased but facing strong resistance at around the 96.00 figure. Once cleared, the next stop would be the Kijun-Sen at 96.14, followed by the December 7 high at 96.49, ahead of the 97.00 mark.
On the other hand, if the uptrend stalls at 96.00, that could pave the way for further losses. The first support would be the Senkou Span B at 95.80, followed by the bottom of the Kumo at 95.25/35. Once that area Is surpassed, bears could accelerate the downtrend towards the December 8 low of 94.17, and the December 7 low of 93.70.
AUD/JPY Price Analysis – Daily Chart
AUD/JPY Technical Levels
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.
