AUDJPY remain bearish for a further drop
Sell below 88.83. Stop loss at 89.35. Take profit at 87.65.
Reason for the trading strategy (technically):
Price has broken a really nice ascending support-turned-resistance line triggering a bearish move. We prepare to sell below 88.83 resistance (Fibonacci retracement, horizontal overlap resistance) for a push down to at least 87.65 support (Fibonacci extension, horizontal swing low support).
Stochastic (34,5,3) is seeing major resistance below 95% and we also see a bearish exit signalling that a change in momentum has occurred.
Correlation analysis: We are seeing JPY strength with AUDJPY and USDJPY expecting drops.
Reason for the trading strategy (technically):
Price has broken a really nice ascending support-turned-resistance line triggering a bearish move. We prepare to sell below 88.83 resistance (Fibonacci retracement, horizontal overlap resistance) for a push down to at least 87.65 support (Fibonacci extension, horizontal swing low support).
Stochastic (34,5,3) is seeing major resistance below 95% and we also see a bearish exit signalling that a change in momentum has occurred.
Correlation analysis: We are seeing JPY strength with AUDJPY and USDJPY expecting drops.