Today we turn our attention to the Australian dollar versus Japanese yen (AUD/JPY), where the pair is currently approaching a key resistance zone within a well-defined technical setup.
The price has been consolidating inside a symmetric triangle pattern, outlined with black trendlines. At the moment, AUD/JPY is trading in the upper half of this formation and is pressing toward the upper boundary of the triangle—an area that has historically acted as strong resistance.
Adding to the setup is a yellow horizontal rectangle, highlighting a short-term consolidation zone. This box defines a more immediate resistance and support range within the triangle itself.
Trading Strategy:
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A daily close above the yellow resistance would be a strong signal to go long, indicating bullish breakout momentum.
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Conversely, a daily close below the yellow support would point to a bearish breakdown and generate a sell signal.
With price action tightening and pressing against resistance, a breakout is likely imminent. Keep a close eye on the daily close for confirmation of the next directional move.