AUDJPY bouncing up nicely, remain bullish for a further rise
Buy above 87.81. Stop loss at 87.40. Take profit at 88.75.
Reason for the trading strategy (technically):
Price has bounced up nicely from our buying area and made a bullish exit of an intermediate descending resistance-turned-support line. We remain bullish looking to buy above major support at 87.81 (Fibonacci retracement, horizontal overlap support, Fibonacci extension, bullish divergence) for a push up to at least 88.75 resistance (Fibonacci retracement, horizontal swing high resistance).
Stochastic (31,3,1) is seeing strong support above 2.5% where we expect a bounce from. We can also see bullish divergence vs price signalling that a bounce is impending.
Reason for the trading strategy (technically):
Price has bounced up nicely from our buying area and made a bullish exit of an intermediate descending resistance-turned-support line. We remain bullish looking to buy above major support at 87.81 (Fibonacci retracement, horizontal overlap support, Fibonacci extension, bullish divergence) for a push up to at least 88.75 resistance (Fibonacci retracement, horizontal swing high resistance).
Stochastic (31,3,1) is seeing strong support above 2.5% where we expect a bounce from. We can also see bullish divergence vs price signalling that a bounce is impending.