AUD/JPY may fall 85 - 118 pips

Our pivot point stands at 94.35.

Our preference

Target 92.55.

Alternative scenario

The upside breakout of 94.35, would call for 94.90 and 95.24.

Comment

The RSI is below 50. The MACD is positive and below its signal line. The MACD must penetrate its zero line to expect further downside. Moreover, the pair is trading under its 20 period moving average (94.53) but above its 50 period moving average (93.67). Finally, the AUD/JPY is trading below its lower Bollinger band (standing at 93.76).

Supports and resistances

95.24 **

94.90 *

94.35 **

94.13

93.73 last

92.88

92.55 **

92.22 *

91.89 **

Number of asterisks represents the strength of support and resistance levels.