AUD/JPY suffered another wild ride in thin, panic, early Asian session again today. It’s a move that resembles what happened early last year. On January 3, 2013, AUD/JPY hit as low as 70.2 (depending which chart you’re reading), but recovered strongly to close at 76.05. The fate of the cross, however, will likely be different considering the material risks the world is facing.
From a technical point of view, outlook with remain bearish as long as 71.50 resistance holds. 100% projection of 80.71 to 69.96 from 76.54 at 65.78 will remain the focus after today’s “false break”. Sustained trading below this level will pave the way to 161.8% projection at 59.13.
That will coincide with 100% projection of 102.83 to 72.39 from 90.29 at 59.85, as well as 60 round number. We’d expect enough support only from there to bring sustainable rebound.
