AUD/JPY: Ichimoku clouds
Let’s look at the four-hour chart. Tenkan-sen line has crossed Kijun-sen from above, the red line is directed downwards, while the blue one remains horizontal. Confirmative line Chikou Span is crossing the price chart from above, current cloud is going to reverse from ascending to descending. The instrument is trading around lower border of the cloud. One of the previous minimums of Chikou Span line is expected to be a support level (82.57). The closest resistance level is the upper border of the cloud (82.86).
On the daily chart Tenkan-sen line is crossing Kijun-sen from above, the red line is directed downwards, while the blue one remains horizontal. Confirmative line Chikou Span is crossing the price chart from above, current cloud is descending. The instrument has been corrected to the Tenkan-sen line. One of the previous minimums of Chikou Span line is expected to be a support level (82.35). The closest resistance level is the upper border of the cloud (83.18).
Recommendation
On the four-hour chart we can see a correction of the downward movement. On the daily chart the Bearish trend is still strong. It is recommended to open short positions at current price with the target at the level of previous minimum of Chikou Span line (82.35) and Stop Loss at the lower border of the cloud (83.18).
Scenario
| Timeframe | Weekly |
| Recommendation | SELL |
| Entry Point | 82.78 |
| Take Profit | 82.35 |
| Stop Loss | 83.18 |
| Key Levels | 82.35, 82.88, 83.18 |
