- AUD/JPY remains subdued in the Asian session.
- Cross seeks support near daily lows at 84.54.
- Momentum oscillator caution for directional bet awaits confirmation.
The AUD/JPY gave up some of its gains after touching multi-year high at 85.82, having rallied from the lows of 82.28 since March 24. The cross moves in a very narrow trading range and lacks meaningful price action on Friday for the time being.
At the time of writing, AUD/JPY is trading at 84.61, up 0.02% on the day.
AUD/JPY daily chart
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On the daily chart, the cross accumulates in the vicinity of the previous day’s closing at 84.60. The formation of the Doji candlestick points at the indecisive market participants at this juncture. If price follows the weekly downward momentum, then the first area of support could be the previous day’s low at 84.29.
The receding Moving Average Convergence Divergence (MACD) indicator looks for the 84.00 horizontal support level next.
The next area of resistance would be April 26 lows at 83.50.
Alternatively, if price reverses, then it could retest the previous day’s high at 84.90 followed by Wednesday’s high of 85.26.
The price action would mark the continuation of the initial uptrend reaching out for the 85.50 horizontal resistance level.