AUD/JPY produced two consecutive bullish candles in the daily chart. The H4 chart shows that the price consolidated around a significant support level. The level has already produced a Pin Bar. As of writing, the price has been bullish in the last candle. If it comes out as a bullish engulfing candle, it will be a Morning Star. It may attract buyers to go long above consolidation resistance.
Chart 1 AUD/JPY H4 Chart
The chart shows that the price made a strong bullish move and on its way, it made a bullish breakout at the level of 76.420. It had a rejection at 76.700 and consolidated. The level of 76.420 has been working as a level of support. It has already produced a Pin Bar. If the current candle comes out as a bullish engulfing candle, the buyers may go long above the level of 76.700. The price had a rejection at the same level in the daily chart as well. Thus, the breakout may create good bullish momentum.
Trade Summary:
Entry: Buy above 76.700
Stop Loss: Below 76.420
Take Profit 1: 76.875
Take Profit 2: 77.000
Take Profit 3: 77.200