AUD/JPY edged lower just before the Asian markets opened, marking its second day of losses and dipping close to the 93.00 mark. However, the selling momentum seems to be waning, with some technical indicators hinting that the bulls might make a comeback or at least stabilize the pair.
On Friday, the AUD/JPY pair faced a second straight day of declines, settling around 93.30. Sellers continued to exert downward pressure, although the momentum behind this drop appears to be easing. This slowdown hints at a potential leveling out or even a brief uptick in the near term.
Looking at the Relative Strength Index (RSI), it’s currently positioned in the negative but isn’t dropping sharply, indicating that the intensity of selling might be less pronounced than in past sessions. Concurrently, the Moving Average Convergence Divergence (MACD) is showing smaller red bars, suggesting that the decline in momentum is tapering off. This technical landscape might pave the way for a rebound or at least a period of stability before the next major move.
From a technical standpoint, support seems to be developing around the 92.80 region, with more solid support at 92.50. The 20-day Simple Moving Average (SMA) sits at 95.00 and serves as a significant resistance point. Should the pair break above this level, it could bolster confidence among buyers, while failing to advance might push the pair downwards towards 92.00.
AUD/JPY daily chart
