Richard is a full time trader with 12 years experience that includes working as an equities day trader at a trading floor in Cape Town.
Good day traders! During my last update on the 13 th of January, I thought that the AUD/JPY currency pair might make it into the 76.75 – 78.00 price zone before my proposed corrective phase would end.
Price never entered that zone, reversed lower and broke below my lower channel line. The sell-off then found support at a 0.618% Fib retracement level and bounced higher, in what could be a correction before lower prices follow.
If AUD/JPY is still correcting, then price might make it into the 74.65 – 75.48 price zone before the next leg lower begins BUT a break below the 73.04 level should indicate that a correction has ended.
Should price break below the 73.04 level, then we could see a move towards the 72.39, 71.73, 71.27 or even 70.67 levels which are Fib extension levels.
Until next time, happy and safe trading!