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FxWirePro: AUD/JPY breaks below channel base support, good to sell rallies

The Japanese Yen is seen as a beneficiary of safe haven flows today, while the Antipodeans are struggling to make a comeback.

  • Soft Caixin China Manufacturing PMI reigniting fears of a slowdown in China, dents risk appetite.
     
  • AUD/JPY has broken below channel base support at 86.70 and is currently trading at 86.60, is down around 1.5 % on the session.
     
  • Daily Stochs and RSI are biased lower, channel base breach opens to 85.31 68.1% Fib retrace of 81.97 to 90.72 rise.
     
  • Immediate support is seen at 86.0 (Oct 14 lows), while resistance on the upside is located at 86.86 (Sept 18 high).
     

Recommendation: Good to sell rallies around 86.70 levels, SL: 87.55, TP: 85.40

 

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