AUDJPY Approaching Resistance, Potential For A Reversal

12 giu 2018

AUDJPY is approaching its resistance at 84.47 (100% Fibonacci extension, 61.8% Fibonacci extension, 50% Fibonacci retracement, 38.2% Fibonacci retracement, horizontal overlap resistance) where price could reverse, causing it to fall to its support at 81.30 (horizontal swing low support). We do have to be cautious of the intermediate support at 82.75 (50% Fibonacci retracement, horizontal overlap support).

Stochastic (55, 5, 3) is approaching its resistance at 98% where a corresponding reversal could occur. We have also identified a bearish divergence with price which contributes to our bearish bias.