AUD/JPY dropping perfectly from our selling area, remain bearish for a further drop

Price has reached our selling area and dropped perfectly from there towards our profit target. We remain bearish looking to sell below 88.83 resistance (Fibonacci retracement, horizontal overlap resistance) for a push down to at least 87.65 support (Fibonacci extension, horizontal swing low support).

Stochastic (34,5,3) is seeing a major resistance below 95% and we also see a bearish exit, signalling that a change in momentum has occurred. It still has some downside potential that goes in line with the drop we are expecting on price.

Correlation analysis: we are seeing JPY strength with AUD/JPY and USD/JPY expecting drops.

Sell below 88.83. Stop loss at 89.35. Take profit at 87.65.

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