AUDUSD, Daily
As expected the pair rallied from the 0.6938 support. AUD has now been trading at resistance and just recently failed to stay above the daily Bollinger Bands. The 100 period SMA has been limiting the upside in the occasions while the September pivotal high at 0.7280 has been supporting price yesterday and today. Price is now trading at 0.7263. A close below 0.7266 would make yesterday’s candle a pivot and a lower high. This looks likely. A break below 0.7200 would open a way to the 0.7020 support. If 0.7200 fails to support price look for reversals in 0.6938 – 0.7020 range for long trades and 0.7344 - 0.7382 for short trades.
AUDJPY, Daily
With AUDUSD rallying the AUDJPY moved higher as well. The pair hit resistance at 88.65 and reversed after trading outside the Bollinger bands. Now price action is taking place inside Bollinger Bands and the pair is fluctuating near 50 day simple moving average. There is some support at 86.08 but the 4h chart reveals a lower high after price reacted lower from a 30 period SMA and increases the chances price will break below this support. This would make the 82.88 – 84.29 a reasonable target level. Look for bullish reversals inside this range while 87.80 – 88.65 is a range for bearish reversals.
