AUD/JPY: Bearish Reversal in Play, A Long Downtrend Awaits?
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AUDJPY has no chance for a Bullish Outlook? Let's dive into the analysis...
After a prolonged consolidation phase, the Aussie Yen has once again traded below the EMA-200 line, forming a new lower high along the way. This bearish signal marked the beginning of a continued downward movement, which was further confirmed by a breakout from a rising wedge pattern. Such breakouts typically indicate strong bearish momentum, especially when accompanied by multiple bearish marubozu candlesticks.
Further strengthening this outlook, a falling wedge breakout occurred on the JPYBASKET, signaling a continuation of its prevailing bullish trend. This divergence between Aussie Yen and JPYBASKET adds weight to our bearish analysis.
Considering these strong technical signals, the price is likely to move downward toward the first target at 94.651 or potentially the second target at 93.716.
However, this bearish scenario depends on the price staying below the critical stop-loss level at 98.478.
Support the channel by engaging with the content, using the rocket button, and sharing your opinions in the comments below.
"Disclaimer: "Please note that this analysis is solely for educational purposes and should not be considered a recommendation to take a long or short position on Aussie Yen".
AUDJPY has no chance for a Bullish Outlook? Let's dive into the analysis...After a prolonged consolidation phase, the Aussie Yen has once again traded below the EMA-200 line, forming a new lower high along the way. This bearish signal marked the beginning of a continued downward movement, which was further confirmed by a breakout from a rising wedge pattern. Such breakouts typically indicate strong bearish momentum, especially when accompanied by multiple bearish marubozu candlesticks.
Further strengthening this outlook, a falling wedge breakout occurred on the JPYBASKET, signaling a continuation of its prevailing bullish trend. This divergence between Aussie Yen and JPYBASKET adds weight to our bearish analysis.
Considering these strong technical signals, the price is likely to move downward toward the first target at 94.651 or potentially the second target at 93.716.
However, this bearish scenario depends on the price staying below the critical stop-loss level at 98.478.
Support the channel by engaging with the content, using the rocket button, and sharing your opinions in the comments below.
"Disclaimer: "Please note that this analysis is solely for educational purposes and should not be considered a recommendation to take a long or short position on Aussie Yen".
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Bank of Japan Governor Kazuo Ueda said on Monday the central bank will raise interest rates further if the economy continues to improve, though he stressed the need to consider various risks when deciding how soon to pull the trigger.
This statement supports a bullish outlook on Yen. Therefore, we foresee a bearish outlook on Aussie Yen.
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