Strategy: Focus on intraday breakouts, likely around the U.S. market opening. Short-term bearish bias after breaking 96.8.

Resistance: 99 (bullish above this) with CCI indicator support.

Support: 98.3 (bearish below this); 96.8 and 95 (take profit & breakout points).

Fundamentals: Recent U.S. stock gains have pushed AUD/JPY higher, but recent upward momentum has been driven by negative news like monkeypox and housing data, which may not last. With ongoing market risks, the Australian dollar faces downward pressure, while the yen has potential for appreciation. Short-term, bearish opportunities are stronger, but wait for a price reversal.

Technical: With recent low-impact data, use four-hour CCI signals for intraday trades. Watch for a break above 99 (bullish) or below 98.3 (bearish). Wait for a price drop below 96.6 to follow the trend.

AUD/JPY Trading Strategy

Aug 20 2024

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