© Dukascopy Bank SA
AUD/JPY is creating a classical double bottom pattern, where two valley peaks are located precisely at the same level of 82.12. At the moment the Australian Dollar is gaining strength versus the Japanese Yen, but the pair is projected meet a substantial resistance in the nearest future, which is composed of the monthly pivot point and 100-period SMA at 86.32/87.02. Daily technical studies are very sceptical about the pair's ability to penetrate this supply area, while weekly indicators are mixed. However, many double bottom pattern are quite often confirmed to the north, and with market sentiment being positive (74%) bulls seem to have an advantage over bears.
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