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FxWirePro: AUD/JPY hovers around 50-DMA, good to go long on break above

  • Aussie continued gaining traction despite of weaker than expected Chinese macro data.
     
  • Gains in commodity space, especially copper, also lending support to the Aussie.
     
  • AUD/JPY up 0.75% on the day, trading at 84.32, intraday bias higher.
     
  • The pair is hovering around 50-DMA at 84.26, decisive break above will see further upside.
     
  • Close below 5-DMA at 83.98 will negate upside bias. Scope then for weakness upto 83 levels.

Support levels - 84.04 (38.2% Fib of 88.176 to 81.486 fall), 83.98 (5-DMA), 83.34 (20-DMA), 83.06 (23.6% Fib)

Resistance levels - 84.83 (50% Fib), 85, 85.62 (61.8% Fib)

Recommendation: Good to go long on break above 50-DMA, SL: 83.35, TP: 84.85/ 85/ 85.60.

FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at 166.916 (Bullish), while Hourly JPY Spot Index was at -116.801 (Bearish) at 0730 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.

 

 

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