AUD/JPY Technical Analysis: Flirting with pennant breakdown

The AUD/JPY pair is flirting with pennant support of 83.35, hourly chart shows.
An hourly close below 83.35 would confirm a breakdown and would open up downside towards 82.60 (50-day moving average).
The pennant breakdown would also add credence to bullish exhaustion indicated by the long upper shadows of previous three daily candles.

Omkar Godbole FXStreet Contributor

Hourly chart

Spot Rate: 83.35

Daily High: 83.50

Daily Low: 83.35

Trend: Bearish below 83.35

Resistance

R1: 83.69 (July 16 high)

R2: 81.16 (June 12 high)

R3: 84.56 (200-day MA)

Support

S1: 82.86 (10-day MA)

S2: 82.60 (50-day MA)

S3: 82.19 (50% Fib R of 80.69-83.69)

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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