The Japanese Yen soared, and Aussie dollar collapsed in thin Asia session on Thursday across the board. The cross AUDJPY collapsed to as low as 70.45, which is a drop of nearly 8.00% from the opening price, printed the lowest reading since July 2009.
This morning we tweeted a bearish target based on the wave pattern for 74.60, but we didn’t expect a flash crash.
At the time of preparing this, JPY remains to strengthen across the board with 2.50% against AUD, 1.50% against CAD, EUR, GBP, USD, and NZD respectively.
As shown on the below chart, AUDJPY traced out a long-term bearish H&S pattern in 2011-2016. Today’s flash crash drags the price below the neckline finds between 70.50-72.40.
Turning to the other AUD cross AUDNZD dive to 1.0125, the lowest level since March 2015.
Besides USDJPY made a low at 103.85 fell below the March 2018 low. Long-term support zone finds between 101.65-100.00.
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