By: Dima Chernovolov
AUD/JPY continues to rise inside the 30-minute Rising Wedge chart pattern which was recently identified by Autochartist. Autochartist rates the quality of this Rising Wedge at the 5-bar level – which reflects the slow Initial Trend (1 bar), average Uniformity (5 bars) and strong Clarity (9 bars). AUD/JPY is expected to rise further inside this chart pattern – in line with the earlier upward reversal form the support area highlighted below.
As can be seen from the daily AUD/JPY chart below – the bottom of this Rising Wedge formed when the pair reversed up from the support area lying between the key support level 72.60 (which also reversed the pair at the start of June), 50% Fibonacci retracement of the upward impulse from May and the support trendline of the daily up channel from March. The proximity of this support area adds to the probability AUD/JPY will continue to rise inside this Rising Wedge.