AUD/JPY technical analysis: Break of 21-DMA, bearish MACD portray sellers’ dominance

• AUD/JPY stays below 21-DMA with MACD flashing bearish signals.
• 23.6% Fibonacci retracement acts as immediate support with 50-DMA occupying the other extreme.

In addition to the AUD/JPY pair’s sustained trading below the 21-day simple moving average (DMA), bearish signal from 12-bar moving average convergence and divergence (MACD) indicator also pleases the sellers as the quote declines to 72.82 by the press time of early Asian session on Tuesday.

23.6% Fibonacci retracement of April-August downpour, near 72.50, seems to provide nearby support to the pair, a break of which could strengthen bearish sentiment towards 71.80 and monthly bottom close to 71.10.

However, pair’s declines below 71.10 might not refrain from challenging August 07 low near 70.70 and 70.00 round-figure.

Meanwhile, the 50-DMA level of 73.13 acts as an immediate upside barrier to watch, a break of which can trigger fresh recovery to 73.80 and 38.2% Fibonacci retracement level near 74.10.

Though, monthly top around 74.50 could restrict pair’s upside past-74.10, if not then 75.00 will come back on the chart.

AUD/JPY daily chart

Trend: bearish