AUD/JPY 1H Chart: Channel Up
- The Australian Dollar is advancing against the Japanese Yen in a short-term ascending channel that started to form after the currency pair stopped to move in a downtrend and changed the direction near 85.52.
- At the moment, it consists of two reaction highs and two reaction lows and, thus, has reached maturity.
- For this reason, dissolution of the pattern might happen as soon as the currency rate will reach a combined resistance level set up by the weekly R1 at 87.69 and the monthly PP at 87.78.
- Even though the market sentiment remains 69% bearish, a summary of technical indicators for the upcoming five and twenty four hours sends a strong buy signal.
- This might be a sign that the pair has entered into a solid medium-term uptrend.
