AUDJPY is preparing for the next bearish trend, a breakdown is imminent.
Sellers may remain dominant in the market soon
AUDJPY Weekly Price Analysis – September 17
AUDJPY pair has been in an uptrend for a while, thus, it is about time for the Yen to commence its down south momentum as we are seeing a bearish correction in place on the 4-hour chart. The market price could turn downside if the sell traders increase their selling pressure and close the daily chart below the $90.25 support value, and then there is a high probability of the price dropping down to its recent swing low which is $86.05 lower support level.
AUDJPY Market
Key Levels:
Resistance levels: $93.00, $94.00 $95.00
Support levels: $89.00, $88.00, $87.00
AUDJPY Long-term Trend: Bullish
The AUDJPY pair is in a bullish trend zone in its long-term outlook. The high impact from the bulls during the past few days has really made and sustained the pairs’ bullish momentum in its recent high. Nevertheless, it seems the bears will take over the price of AUDJPY soon and commence the down south momentum as the market is now overbought.
The market was propelled higher by the bulls until it reached a new high at the $95.54 resistance mark above the moving averages as the daily session commences today. This shows the level and the high impact of the buy investors on the crypto market.
However, a divergence is noticed as the market price of AUDJPY now points down in the overbought region of the daily stochastic; this means that the buying momentum might end soon, while the bears are gathering momentum to commence the down south trip, with this trend, a breakdown is imminent.
If this is achieved, we can now expect the short traders to resume the down south momentum and the $85.00 lower support value might be the target in the days ahead in its long-term outlook.
AUDJPY Medium-term Trend: Bullish
On the medium-term outlook, the momentum is in a downward trend. The sustained bullish pressure at a $95.42 supply value during yesterday’s session has made the Yen price trade above the supply trend levels in its recent high.
Exhaustion sets in as sellers return briefly to commence the down south momentum on the 4-hour chart. Sellers dropped the price of AUDJPY down to a $95.18 low value above the EMA-50 and below the EMA-9 as the 4-hourly chart opens today. An indication of more pulls from sellers while the buying pressure is fading off gradually.
The impulsive move by the short traders further dropped the price of AUDJPY down to the $95.00 support level as the journey down south continued. This means that sellers are returning gradually into the market to stage a play.
Additionally, the price of the Yen pointing down in the overbought region of the daily stochastic indicates that the down south momentum has just started. Thus, the price of AUDJPY might drop further to the $85.00 support value in the coming days in its medium-term outlook.
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