AUDJPYFX:AUDJPY
AUDJPY has been moving sideways within range on the 4-hour time frame over the past few days. The most recent upward movement reached a double top before being met with resistance, causing the price to fall and test the 38.2 FIB level. This level is a significant structural support level as all previous price rejections have occurred at this point. If this support level holds, we may see the price retesting the .50 or 61.8 level before the downtrend resumes. This suggests that the bulls may be able to regain control and push the price higher, but the bears will likely attempt to drive the price lower after the retracement.
Alternative Scenario:
The current market conditions suggest that the bearish momentum is gaining strength. As a result, it is possible that the 38.2 level could be broken without a retest of the 0.50 level. This scenario could indicate a potential shift in market sentiment and could lead to further downward movement in the near future. It is important to monitor the market closely and take appropriate action to manage any associated risks.
