Today we will talk about AUDJPY pair and its price action from technical point of view and wave structure from Elliott Wave perspective.
AUDJPY is in a sideways consolidation since May 2021 and looks like a triangle pattern. Triangles are continuation patterns, which consist of five waves A-B-C-D-E and with current break above upper triangle line. Seems like it’s finally finishing a corrective running triangle that can take the price higher with room up to 88 – 92 area.
Of course, triangles can be sometimes very complex and they could take even more time, so in case of another decline, then we may see even more sideways price action. Anyway, as long as the price is above 80. 40 invalidation level, we can expect further rally.