- AUD/JPY drops from three weeks’ high.
- An eight-day-old rising trend channel keeps buyers hopeful.
- 50% Fibonacci retracement, channel’s upper line adds to the resistance beyond 200-bar SMA.
AUD/JPY takes a U-turn from immediate rising channel and declines below 200-bar Simple Moving Average (SMA) as the quote flashes 74.30 mark during the early Asian session on Tuesday.
Prices are likely extending the pullback towards the eight-day-old channel’s support, at 74.00, a break of which could please sellers with November 21 low near 73.50 and mid-November bottom close to 73.35.
Given the bull’s dominance beyond 74.55, highs marked during November 10 and 12 around 74.95/75.00 will be in focus.
AUD/JPY 4-hour chart
Trend: Pullback expected