AUDJPY Produces Bearish Rejection Candle as Price Slams into

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audjpy bearish price action reistance

Last session we were graced with the volatility the FED brought to the markets and we seen the USD strengthen again. As a result we seen the major currencies weaken like the GBP and the AUD. The AUDUSD producing a large bearish rejection candle with a heavy close, suggesting lower prices are to come – especially after the attempted to breakout of the consolidation upper containment line failed.

Looking also at the AUDJPY today where a bearish rejection candle has formed as the market responses bearishly to a resistance level. Traders who are getting short off this signal should remember this is against the overall bullish pressure of this market and should watch the mean value area to see if it holds as dynamic support. If the market holds at the mean and starts printing bullish price action, this could be an early warning flag to exit early. Invertedly, if the mean value fails to hold, we could see the AUDJPY sell off down into the next major support level and produce good returns.

 

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The Forex Guy is an educational Forex trading blog run by Dale Woods who has been a passionate retail Forex trader for over 6 years. Dale trades the Forex market exclusively with price action based methodologies, believing price action trading to be one of the powerful approaches used the market today, and really is the core foundation of any good trading system. Dale also strongly believes in keeping charts clean and keeping things simple, logical and uncomplicated. By making trading decisions straight off the raw price action data, you can ‘bypass’ unnecessary variables like exotic indicators, trading robots or magical pivot levels. Dale enforces the idea that there is hardly any edge trading news and economic data releases and much prefers to make trading decisions straight from the candlestick themselves. ‘The Forex Guy’ is dedicated to providing knowledge to serious and passionate traders who want to learn the art of price action trading, positive geared money management and how to psychologically condition themselves to become a professional trader.

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