05.08.202511:38 Forex Analysis & Reviews: AUD/JPY. Analysis and Forecast

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

The AUD/JPY pair is struggling to attract buying interest, trading near the psychological level of 95.00 and close to the nearly four-week low reached the previous day. Moreover, the technical picture suggests that the path of least resistance for spot prices is downward.

Friday's break below the round level of 96.00 and the subsequent drop below the 200-day Simple Moving Average (SMA) were key factors confirming the bearish trend. In addition, the Relative Strength Index (RSI) on the daily chart has just started to show negative momentum, supporting the short-term bearish outlook.

However, before preparing for a continuation of the recent pullback from the multi-month high reached in July, bears should wait for a firm move below the 95.00 level.

Once this level is breached, AUD/JPY could accelerate its corrective decline toward the intermediate support at 94.80, then head toward the 94.35 area, followed by a potential test of levels below the psychological mark of 94.00 in the near term.

On the other hand, the 200-day SMA at 95.55 serves as a strong barrier ahead of the 96.00 level. A breakout above this level could trigger a short-covering rally, pushing AUD/JPY toward the next resistance at 96.50, followed by 96.80 and the psychological level of 97.00.

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.