AUDJPY is in a short bearish market forming the lower lows and lower highs. Market is right now at the resistance level of 94. This is the area where market can drop down as since previous days, market is simply ranging. We want to see another dip down towards the lower side. 

The ascending trendline has induced the breakout sell. This breakout sell has been validated by the price action.

The retracement level of 61.8% is in confluence with the resistance level. This level of resistance will be the right area for us to take the short positions.

EMA 50 has broken out for sells and has been retested by the market near the resistance level. The curve is steap, which means the strength for the berish impulse is stronger than the corrective impulse. Market is heading towards the EMA 50 for another round of retest. 

RSI is at 53. We will wait for the RSI to fall below the 50 level in order to align ourselves with other technical parameters for the short position.

AUDJPY back towards the resistance

Nov 22 2022