AUDJPY surges to the 87.40 support level, where buyers step in to halt the decline. Following a period of intense selling pressure, the pair bounces back, correcting to the upside. This reversal comes after an impulsive downside move, characterised by a rapid and significant price drop, releasing substantial energy from the market.
In March, AUDJPY tested the resistance border, signalling overbought conditions. The price dropped below the Moving Average, purging the market with a strong downside motion.
After the significant price drop, a correction followed. The price rose above the 9-period Moving Average, indicating an upward retracement. However, the bearish trend is expected to resume soon.
The price is now in the premium zone, approaching the bearish order block at 93.00. The Stochastic Oscillator confirms the price is overbought, supporting a bearish continuation for the best forex signals telegram channel.
AUDJPY Short-term Trend: Bearish
The 4-hour chart still shows a bullish market structure. A shift in this structure would position traders for a potential downslide to 87.40. Traders should monitor price action closely, as a bearish trend confirmation would likely lead to a decline.
In summary, the long-term trend remains bearish despite the current retracement. Traders should be cautious and prepared for a potential downward trend resumption as the price approaches the bearish order block.
Trade on MT4 with Leverage up to 1:500! Trade on MT4 with Leverage up to 1:500!
X
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.
