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FxWirePro: AUD/JPY breaks minor trendline resistance at 85.40, good to buy dips

  • RBA more cautious about talking down the AUD which partly disaapointed Aussie bears.
     
  • Governor Steven’s comments had only a limited impact on the Aussie which has continued to strengthen taking AUD/JPY to session highs at 85.87.
     
  • The pair has on Tuesday broken above minor trendline resistance at 85.40, but is struggling to extend gains on the day, Doji formation seen in the Asian session.
     
  • Strong resistance for the pair is seen at 85.87 (Mar 17th high), breaks above can see upside till 86.35 levels.
     
  • Weekly charts show bullish momentum for the pair, daily cloud offers strong support on the downside, weakness to resume only on breaks below cloud top at 84.15.

Recommendation: Good to buy dips around 85.50, SL: 85, TP: 85.87/86.15/86.35
 

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