© Dukascopy Bank SA
The AUD/JPY currency pair has been generally trading sideways since April of this year; however, recently the pair has formed the bullish channel on an hourly chart. Currently it is trading just below the upper boundary of the channel at 95.96.
Concerning the fact that the pair decided not to move down after the recent peak, the break-out to the upside is possible any time soon. Near-term indicators support the idea of upward movement. At the same time, at first the currency pair will have to cross the major level 96, also represented by the four-hour R3 and daily R2 levels, which can hold the pair for some time before they will be finally breached.
© Dukascopy Bank SA