{"id":61657,"date":"2014-10-09T17:47:56","date_gmt":"2014-10-09T21:47:56","guid":{"rendered":"http:\/\/countingpips.com\/?p=61657"},"modified":"2014-10-09T18:40:45","modified_gmt":"2014-10-09T22:40:45","slug":"audjpy-200-sma-temporarily-caps-downside","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2014\/10\/audjpy-200-sma-temporarily-caps-downside\/","title":{"rendered":"AUD\/JPY: 200-SMA Temporarily Caps Downside"},"content":{"rendered":"<div id=\"inves-38496070\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">October 9, 2014<\/div><hr style=\"border: none; border-bottom: 3px solid black;\">\r\n<\/div><\/div><p>Technical Sentiment: <strong>Bearish<\/strong><\/p>\n<p><strong>Key Takeaways<\/strong><\/p>\n<ul>\n<li>Australian Employment Change disappointed on Wednesday, Unemployment Rate jumped back to 6.1%;<\/li>\n<li>Markets saw the Australian Dollar decline at a rapid pace starting Thursday morning, with a noticeable delay after these releases;<\/li>\n<li>Trend remains bearish, with lower highs and lower lows, yet the sell-off stopped on a major support cluster;<\/li>\n<li>Decision time for traders: bounce or long-term downtrend.<\/li>\n<\/ul>\n<p><em>Nothing came out of AUD\/JPY\u2019s Bullish Engulfing Bar formed Wednesday, 8<sup>th<\/sup> October, as price failed to beat previous Lower Highs. This prompted bears to return with a vengeance on Thursday, pushing Aussie lower against the Yen down to the 200-Day Simple Moving Average.<\/em><\/p>\n<p><em>\u00a0<\/em><\/p>\n<p><strong>Technical Analysis<\/strong><\/p>\n<p>Disregarding ranges, temporary stretches of choppy price action and short term bearish corrections; so far this year AUD\/JPY stuck it out within a perfectly structured uptrend consisting of Higher Lows placed at crucial support levels. After five long weeks of relatively one-sided bearish action, AUD\/JPY has now reached one of the few support clusters that actually matter for 2014\u2019s main trend.<\/p>\n<p><img decoding=\"async\" src=\"http:\/\/capitaltrustmarkets.com\/wp-content\/uploads\/2014\/10\/AUDJPY9thOct.png\" alt=\"AUDJPY9thOct\" \/><\/p>\n<p>Let\u2019s see what makes this cluster so strong. Besides having the all important 200-Day Simple Moving Average in this area, a line depicting the natural boundary between bullish and bearish territory on any timeframe it\u2019s drawn, 94.30 \u2013 94.60 represents a major price pivot zone formed throughout 2014. Additionally, 38.2% Fibonacci retracement level (from this year\u2019s low of 88.23 up to 98.66) is also located here, as is support trendline based on the most recent two Higher Lows.<\/p><div id=\"inves-2219720835\" class=\"inves-in-content inves-entity-placement\"><hr style=\"border: 1px solid #ddd;\">\r\n<div id=\"inpost_ads_header\">\r\n<p style=\"font-size:10px; float:left; color:#666;\">Free Reports:<\/p><\/div>\r\n<div id=\"inpost_ads\"> \r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/1ApBOV\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2018\/06\/graph_techs_PD.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t     <a href=\"https:\/\/goo.gl\/1ApBOV\"><b><u>Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p><br><br>\r\n<br>\r\n<br>\r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/f3RrHX\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2019\/01\/cot_pie_80.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t    <a href=\"https:\/\/goo.gl\/f3RrHX\"><b><u>Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p><br><br>\r\n<\/div>\r\n<hr style=\"border: 1px solid #ddd;\">\r\n<br><\/div>\n<p>On the Daily chart Stochastic has been showing oversold conditions for two weeks now, suggesting a bottom and a bounce higher may be in play. Unfortunately, a tight consolidation was the only reaction while bullish price action signals lacked continuation.<\/p>\n<p>Thursday\u2019s sell-off led to the formation of a large Bearish Engulfing Bar on the Daily chart. With a Daily close just above the 200-Day Moving Average, chances of a bullish bounce, however thin, are about to be put to the test on Friday. Such an event would be followed by a re-test of 95.40 \u2013 95.85, where sellers would have to jump back in to protect the downtrend.<\/p>\n<p>A break below 94.50 will immediately trigger a test of 8<sup>th<\/sup> August Low at 93.91. If this levels fails to hold, AUD\/JPY uptrend will officially change to a long term downtrend, In which case we expect to see 92.21 very soon.<\/p>\n<p>*********<br \/>\nPrepared by Alex Z., Chief Currency Strategist at <a href=\"http:\/\/www.capitaltrustmarkets.com\">Capital Trust Markets<\/a><\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Technical Sentiment: Bearish Key Takeaways Australian Employment Change disappointed on Wednesday, Unemployment Rate jumped back to 6.1%; Markets saw the Australian Dollar decline at a rapid pace starting Thursday morning, with a noticeable delay after these releases; Trend remains bearish, with lower highs and lower lows, yet the sell-off stopped on a major support cluster; [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-61657","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/61657","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=61657"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/61657\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=61657"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=61657"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=61657"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}