Currency pair AUD/JPY is exploding higher. This movement is the first indication of a wave three recovery, having recently broken above a descending channel. We’re thrilled to see this shift in momentum. This implies that the recovery from the depths of April 2025 might one day reach the heights measured in July 2024.
According to market analysts, this present movement is right on track with historical precedent, sealing in fact that the uptrend is still very much intact. They caution that volatility is likely, particularly during a possible fourth wave retracement. The AUD/JPY longer-term outlook keeps heading higher.
With so much on the economic docket, the need to sustain trading above the .100.95 invalidation threshold is paramount. Analysts underscore that for the current uptrend to continue being valid, market prices need to remain above this key support level. Numbers falling under this level might indicate a more significant change in direction and could threaten the nation’s current comeback.
Against this dynamic backdrop, value-defensive investors can continue to look for substantial upside potential after all near-term corrections. In fact, traders are quite bullish on the AUD/JPY long-term prospects. They are certainly looking for further confirmation of the uptrend.
Moving forward, as the situation continues to play itself out, traders and investors alike will want to watch for important resistance and support levels. We will certainly be keeping a hawk’s eye on how the AUD/JPY puppy continues to bark with the price action ahead. We’ll be looking particularly at the key 100.95 level.