AUDJPY Strong Confluence At X Cross

Nenad Kerkez

The AUDJPY is heavily correlated to ASX200 and Nikkei indices and if you trade this pair pay attention to both indices as well as SP500 as it moves along with ASX200. In my opinion, best correlation with JPY pairs is USDJPY vs Nikkei and AUDJPY vs ASX200. I also advise that you should useĀ correlation tableĀ all the time, especially if you trade multiple pairs.

Technically we can see that POC suggests a strong resistance in 87.35-45 zone. We can spot a confluence of WPP, E89, L3, and X cross. The pair could reject the zone and generally stay below 87.75 for a bearish outlook.The pair is targeting 87.20 zone and a strong H4 close below 87.18 or momentum break below could tank the pair towards 86.85-60. 86.60-85 zone is the zone where we see historical buyers so it might provide a support.

AUDJPY Hourly Chart

AUDJPY Hourly Chart