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USD Positive Versus AUD and JPY

Technical Analysis

The US currency has signalled a more positive tone across major currencies since the middle for October and certainly accelerated this more positive view over the past week.

AUDUSD weakness has indicated a negative bias within a broader range, whilst USDJPY strength points to a potentially more bullish tone through late October.

AUDUSD

A rebound and setback Friday, back from .7297 (ahead of the .7303/07 area), having previously pushed through .7195/93 support, to leave a negative tone Monday.

This reinforces a broader range theme for October, established since the push above .7275/80, September shooting star candlestick highs.

For Monday:

  • We see a downside bias for .7179 and the .7162/47 area; break here aims for the .7097.

Short/ Intermediate-term Range Parameters: We see the broader range defined by .6936 and .7440.

Range Breakout Challenge

  • Upside: Above .7440 aims higher for .7499 and .7681.
  • Downside: Below .6936 sees risk lower for 6894, .6857 and .6645.

Daily AUDUSD Chart

AUDUSD

USDJPY

A break higher Thursday above the 120.34/57 resistance area set an upside bias for Friday and the push above the 121.24 level sets a broader range theme for late October.

A bull tone needs a break above 121.75/77, and we see an upside bias for Monday.

For Monday:

  • We see an upside bias for 121.75; break here aims for 122.00 and 122.47.
  • But below 121.07 opens risk down to 120.20.

Short/ Intermediate-term Range Parameters: We see the range defined by 121.75/77 and 118.03.

Range Breakout Challenge

  • Upside: Above 121.75/77 aims higher for 123.08 and 124.16.
  • Downside: Below 118.03 sees risk lower for 116.14.

Daily USDJPY Chart

USDJPY

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