Trade of the Day: AUD/JPY
By: Dima Chernovolov
AUD/JPY recently broke the 30-minute Triangle chart pattern which was previously identified by Autochartist. Autochartist rates the quality of this Triangle at the 6-bar level – which is the result of the medium Initial Trend (5 bars), average Uniformity (5 bars) and strong Clarity (8 bars). AUD/JPY is expected to fall toward the forecast price 75.53 – in line with the earlier downward reversal from the resistance area shown below.
As can be seen from the daily AUD/JPY chart below – the price earlier reversed down from the resistance area lying between the resistance level 76.00 and the upper daily Bollinger Band. The proximity of this resistance area increases the probability AUD/JPY will continue to fall toward the forecast price 75.53.