AUD/JPY breaks below strong support at 87.87 which is converged 50-DMA and trendline.
The pair is consolidating previous session's slump, trades a narrow range with day's high at 87.65 and low at 87.41.
Bears now target 100-DMA at 87.17. Violation there could see further downside.
Weak inflation data which dented RBA rate hike expectations likely to keep Aussie under pressure.
Technical studies have turned bearish. Stochs have rolled over from overbought levels. RSI has turned lower and slipped below 50 levels.
Support levels - 87.17 (100-DMA), 86.93 (38.2% Fib), 86.55 (Sept 6 low), 85.94 (200-DMA)
Resistance levels - 87.88 (converged trendline & 50-DMA ), 88.07 (20-DMA), 88.22 (23.6% Fib retrace of 81.48 to 90.30 rise), 89.07 (Oct 23 high)
Good to go short on rallies around 87.60/65, SL: 88.25, TP: 87.20/ 87/ 86.55
The pair is consolidating previous session's slump, trades a narrow range with day's high at 87.65 and low at 87.41.
Bears now target 100-DMA at 87.17. Violation there could see further downside.
Weak inflation data which dented RBA rate hike expectations likely to keep Aussie under pressure.
Technical studies have turned bearish. Stochs have rolled over from overbought levels. RSI has turned lower and slipped below 50 levels.
Support levels - 87.17 (100-DMA), 86.93 (38.2% Fib), 86.55 (Sept 6 low), 85.94 (200-DMA)
Resistance levels - 87.88 (converged trendline & 50-DMA ), 88.07 (20-DMA), 88.22 (23.6% Fib retrace of 81.48 to 90.30 rise), 89.07 (Oct 23 high)
Good to go short on rallies around 87.60/65, SL: 88.25, TP: 87.20/ 87/ 86.55
Komen:
Breaks below 100-DMA. TP1/2 hit. Bias lower.