Our call for AUD/JPY (http://www.econotimes.com/FxWirePro-AUD-JPY-bounces-of-trendline-support-good-to-buy-dips-170177) has hit all targets.
- The pair has broken above strong trendline resistance at 81.90 and there is scope for test of 83.60 levels.
- The pair hit highs of 82.56 and has since pared some gains and is currently trading around 82.38 levels.
- A close above 81.90 would support further upside, next resistance for the pair lies at 83.40 (Jan 13th highs). Immediate support is at 81.90 (trendline) and then 81.50 (5-DMA).
- We see a bullish 5-DMA crossover on 10-DMA, Stcohs are biased higher but have approached overbought levels, so some caution advised.
Recommendation: Book full profits on the earlier call. Go long on close above 81.90, target 83.40/60, SL: 81.50
