AUDJPY testing major resistance, remain bearish
Sell below 86.57. Stop loss at 85.42. Take profit at 87.17.
Reason for the trading strategy (technically):
Price is back to testing our selling area. We remain bearish looking to sell below strong resistance at 86.57 (Fibonacci retracement, Fibonacci extension) for a corrective drop towards 85.42 support (Fibonacci extension, horizontal swing low support).
Stochastic (34,5,3) is seeing major resistance at 91% and has reversed nicely from there.
Correlation analysis: We’re seeing JPY strength with drops on AUDJPY, EURJPY and USDJPY.
Reason for the trading strategy (technically):
Price is back to testing our selling area. We remain bearish looking to sell below strong resistance at 86.57 (Fibonacci retracement, Fibonacci extension) for a corrective drop towards 85.42 support (Fibonacci extension, horizontal swing low support).
Stochastic (34,5,3) is seeing major resistance at 91% and has reversed nicely from there.
Correlation analysis: We’re seeing JPY strength with drops on AUDJPY, EURJPY and USDJPY.