AUDJPY is potentially setting up for a corrective move higher over the short to medium term.
Weekly: The price has fallen to a significant 61.8% Fibonacci support level. This has held on several occasions dating back to 2009, below here there have been a few reaction lows towards 71.94. There are some early indications that this level is once again going to attract buying interest.
Daily: The price has broken up from a wedge pattern, having held support at a 61.8% Fibonacci level at 74.45. The hammer candle posted on the 18th of June 2019 was the first sign of a shift in sentiment.
4H: The price has broken higher from a triangle pattern to complete a small bottom pattern. Price could extend to 75.40 in the short term. Over the medium term, we think a larger correction towards 77.30 could be seen.
Trade idea Buy AUDJPY on a retest of 74.75-74.80. Stop loss at 74.35 Target 77.30