Chart Of The Day - Corrective rebound extends for AUDJPY in light of easing trade tensions
Kelvin Wong April 10, 2018 12:10 PM
82.40 is the key short-term support to watch for AUD/JPY to maintain corrective rebound phase.
Short-term technical outlook on AUD/JPY (Tues, 10 Apr)
Key technical elements
- After it printed a low of 80.48 on 23 Mar 2018, the AUD/JPY cross pair has started to stage rebound of 200+ pips to hit a current intraday high of 82.96 in today, 10 Apr Asian session.
- The on-going rebound is being support by a revival in medium-term upside momentum where the daily RSI oscillator has continued to inch upwards above its former resistance at the 45% level after a prior bullish divergence signal.
- In the short-term (hourly chart), the pair has started to evolve within a minor ascending channel with its next significant short-term resistances coming in at 83.00/20 (Fibonacci cluster & the former minor swing high areas of 06/08 Mar 2018) follow by 83.60 (76.4% Fibonacci retracement of the recent decline from 13 Mar high to 23 Mar 2018 low of 80.48 & the former minor range support from 12/13 Mar 2018).
- The key short-term support rests at 82.40 which is defined by today, 10 Apr Asian session low that has tested and staged a rebound from the former minor range resistance that is closed to the 82.40 level from 05/09 Apr 2017.
Key levels (1 to 3 days)
Pivot (key support): 82.40
Resistances: 83.00/20 & 83.60
Next supports: 81.90/77
Therefore as long as the 82.40 key short-term pivotal support holds, the AUD/JPY may shape an extension of its on-going corrective rebound to target the next intermediate resistances at 83.00/20 follow by 83.60 next.
On the other hand, a break below 82.40 negates the bullish tone for a deeper pull-back to retest 81.90/77 (the former minor range resistance of 27/30 Mar 2018.
Charts are from eSignal
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