AUDJPY is testing the resistance for a consolidation breakout
AUDJPY is testing the resistance 80.50-81 zone for a rectangle consolidation breakout. A confirmed break above 81 is required for an upside continuation higher. A rejection here and a break below 80 could lead to a continuation lower. The overall medium-term is an uptrend but we need to see a confirmation break above 81 for a high probability upside continuation. As long as the AUDJPY is above 79 there is a high probability that it will have an upside extension in what seems to be a 3rd wave.
Note – We are inclined to long trade entries with the stop loss below 80.
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