AUD/JPY Price Analysis: Aussie bulls find pullback near 200-EMA at 84.80

• The antipodean is underpinned against the Japanese yen after a pullback near 84.80.
• AUD/JPY has surpassed the 50-period EMA at 85.10, which adds to the upside filters.
• For more validation, the RSI (14) needs to violate 60.00 on the upside.

The AUD/JPY pair has witnessed some significant bids near 85.00 amid an expansion in the risk appetite of investors. The risk barometer ended Tuesday’s session on a positive note and is carry-forwarding Tuesday’s optimism on Wednesday.

On an hourly scale, AUD/JPY is trading in a rising channel in which every pullback towards the lower end is considered as a buying opportunity by the market participants. The upper end of the rising channel is placed from February 23 high at 83.84, while the lower end is marked from February 24 low at 82.01. The cross has found a pullback after a confluence of 200-period Exponential Moving Average (EMA) and lower end of the rising channel near 84.80.

The cross has breached a minor trendline placed from March 13 high at 85.82. The pair has also breached the 50-period EMA at 85.10 on the upside, which adds to the upside filters.

The Relative Strength Index (RSI) (14) is oscillating in a range of 40.00-60.00, which indicates a consolidation phase. For a bullish setup, the RSI (14) needs to violate 60.00. Should this occur, Aussie bulls will get validation from the RSI (14).

For more upside, the risk barometer needs to surpass Tuesday’s high at 85.37. The violation of Tuesday’s high will drive the cross towards March 11 high at 85.89, which will be followed by 21 October 2021 high at 86.25.

On the flip side, bears can dictate levels if the pair slip below Tuesday’s average traded price at 84.92 decisively, which will send the cross to March 15 low at 84.60. Breach of the latter will drag the cross towards March 9 low at 84.16.

AUD/JPY hourly chart