AUD/JPY technical analysis: 3-week old resistance-line, 73.44/48 confluence question bulls
- AUD/JPY remains positive with bullish MACD.
- Further upside challenged by near-term trend-line resistance and a confluence of 50% Fibonacci retracement, 4H 100MA.
Following its run-up to the eight-day high, AUD/JPY seesaws near 72.48 during the early Asian session on Wednesday.
While the bullish signal from moving average convergence and divergence (MACD) favor the pair’s further upside, 38.2% Fibonacci retracement of late-July to early August decline, at 72.80, becomes immediate resistance to watch.
Should prices manage to rise past-72.80, a downward sloping trend-line since July 23 can question further upside at 73.24, a break of which can escalate the advances to 73.44/48 confluence including 50% Fibonacci retracement and 100-bar moving average on the 4-hour chart (4H 100MA).
If the quote surges above 73.48, 61.8% Fibonacci retracement near 74.10 and July 31 low near 74.35 could lure buyers.
On the downside, 71.40 and recent low surrounding 70.75 can keep sellers away from 70.00 round-figure.
AUD/JPY 4-hour chart
Trend: Pullback 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.
