AUD/JPY approaching strong support, prepare to buy for a corrective bounce

The price is approaching major support at 85.68 (Fibonacci retracement, horizontal swing low support, Fibonacci extension) and we expect to see a bounce above this level for a corrective move up to at least 86.33 resistance (Fibonacci retracement, horizontal pullback resistance).

Stochastic (34,5,3) is approaching major support at 1.2% where we expect a bounce from.

Correlation analysis: We're seeing bounces both on AUD/JPY and EUR/JPY.

Buy above 85.68. Stop loss is at 85.29. Take profit is at 86.33.

analytics598d0df9ecd02.png

The material has been provided by InstaForex Company - www.instaforex.com