We have two consecutive inside weekly bars on the AUD/JPY. This is a signal of strong compression and a potential signal of a bullish breakout. Here are the key levels to watch to the topside:
Big Round Number, 94.000
Weekly Spike High, 94.319
Big Round Number, 95.000
To play this breakout, you can either buy above 94.000 or wait and buy from above the Spike high at 94.319. In either case, the stop loss is best located beneath the triangle (93.25-93.50). A conservative topside target is just beneath the 95.000 handle (94.89-94.99).
Big Round Number, 94.000
Weekly Spike High, 94.319
Big Round Number, 95.000
To play this breakout, you can either buy above 94.000 or wait and buy from above the Spike high at 94.319. In either case, the stop loss is best located beneath the triangle (93.25-93.50). A conservative topside target is just beneath the 95.000 handle (94.89-94.99).