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17 Mar 2014
AUD/JPY testing descending trendline after 91.15 bounce
FXStreet (Bali) - AUD/JPYfound solid bids ahead of 91.00 in early Sydney, producing a rebound as high as 91.60 as market recovers the bid tone.
The lowest for the session was printed at 91.15, just a whisker away from round number 91.00, which should act as strong level on the combination of horizontal support, round number and ascending trendline cross from Jan 31 low. On the upside, any recovery should see a descedning trendline from March 14 high first broken to open up further upside towards 92.00.
A second technical view was shared by Jim Langlands, Fouunder at FXCharts, saying: "If tensions ease in the Ukraine, the Yen crosses will all head sharply higher once again and we could see a return to minor resistance at 92.25, above which would head back to 93.50 and possibly to the recent 94.47 top. This looks less likely at present, and for the time being it looks as though 90.00/92.50 may cover it, with a preference to trade from the short side, although that would change if tensions ease in the Crimea."
The lowest for the session was printed at 91.15, just a whisker away from round number 91.00, which should act as strong level on the combination of horizontal support, round number and ascending trendline cross from Jan 31 low. On the upside, any recovery should see a descedning trendline from March 14 high first broken to open up further upside towards 92.00.
A second technical view was shared by Jim Langlands, Fouunder at FXCharts, saying: "If tensions ease in the Ukraine, the Yen crosses will all head sharply higher once again and we could see a return to minor resistance at 92.25, above which would head back to 93.50 and possibly to the recent 94.47 top. This looks less likely at present, and for the time being it looks as though 90.00/92.50 may cover it, with a preference to trade from the short side, although that would change if tensions ease in the Crimea."