Analysis of the AUD/JPY Price: It Falls More Than 1% As a Bearish Engulfing Pattern Materialises; Bears Are Aiming For 93.00
During the Asian session, the AUD/JPY pair experienced a significant decline, trading at 94.57. On the daily chart, a bearish engulfing candlestick pattern indicates possible further declines. Critical levels of support and resistance are delineated in the face of the dominant adverse bias.

Investors speculated that the US Federal Reserve (Fed) might raise interest rates prior to the end of 2023, which would be a headwind for risk-averse currencies such as the Aussie Dollar (AUD), and AUD/JPY fell more than 1% on Thursday. As a result, the cross-pair maintains its losses and trades at approximately 94.57 at the start of the Asian session.
The pair is neutral to downwardly biassed on a daily chart; as a result of escalating aggressive selling pressure on Thursday, it formed a bearish engulfing candlestick pattern comprised of the entire week's price action. Nevertheless, the AUD/JPY could reach new lows below 94.00.
The initial support for the AUD/JPY pair would be the Ichimoku Cloud (Kumo) near 94.10/30; once cleared, it would reveal the psychological 94.00 level. If that level is breached, the subsequent area of demand to examine would be the October 3 swing low of 93.01, prior to the pair's decline towards the July 28 swing low of 91.79.
In contrast, should AUD/JPY maintain its position above 94, the initial obstacle would be the Kijun-Sen at 94.97, followed by an ascent above 95.00. Following a rally above that level, the July 3 high of 96.83 would be the next target.
Bonus rebate to help investors grow in the trading world!