• AUD/JPY traders saw the pair hovering around the 94.30 level on Friday morning, just before the Asian trading day began, as it edged back towards the lower side of its daily range.
• Although some oscillators are sending mixed signals, the overall technical picture, according to moving averages, still leans towards a downward trend.
• Looking at key levels, support for AUD/JPY seems to be around 94.00 and 93.88, while resistance is just above 94.40. Overall, the indicators are giving conflicting signals, but the bearish sentiment seems to have a slight edge.

AUD/JPY continued its slide on Friday, trading around the 94.30 mark after the European trading session wrapped up. It’s been drifting closer to the lower end of its daily trading range, and overall today, the pair is noticeably down, suggesting sellers are becoming more active. While some momentum indicators are offering mixed, even slightly positive, signals, the larger technical picture still points to a bearish outlook in the short term.

Taking a closer look at the indicators, the Relative Strength Index (RSI) has dipped below 50, indicating a potential shift, but still appears to be in neutral territory. Interestingly, the MACD is showing a slight ‘buy’ signal, which might suggest a short-term bounce could be in the works. However, the Bull Bear Power indicator is at 0.641, which reinforces the idea that selling pressure is still dominant, and the Williams Percent Range remains neutral, not giving any strong clues about a change in direction just yet.

The picture from moving averages is a bit mixed. The short-term 20-day Simple Moving Average (SMA), currently at 94.02, is still indicating a potential ‘buy’, acting as a dynamic support level. On the other hand, the 10-day EMA (94.45) and SMA (94.58), along with the longer-term 100-day (96.85) and 200-day (98.70) SMAs, are all pointing towards a bearish sentiment. This suggests that for now, any upward movement might be limited unless we see a significant shift in the market structure.

Looking at specific price levels, we can see immediate support forming around 94.16, with further support levels at 94.02 and then 93.88. On the upside, resistance seems to be clustered around 94.35, 94.42, and 94.45 – right before we hit those important short-term moving averages. These resistance zones could become areas where sellers might step in again if buyers try to push the price higher.

AUD/JPY daily chart