AUD/JPY – 8H – BUY

The AUD/JPY 8H signal stack is overwhelmingly bullish despite the broader bearish trend across most timeframes. The combination of a Double Top pattern (typically bearish) with a Fibonacci Retreat DownTrend at 24% suggests a potential trend reversal or a deep corrective bounce within the larger downtrend. The confluence of momentum indicators—BOP Zero Cross Up, STOCHF KD Cross Up, WILLR OS Exit, TEMA Retreat Up, and KDJ Cross Up—points to a coordinated shift in buying pressure, likely after an oversold condition. The Bullish Meeting Lines candlestick pattern reinforces the idea that sellers are losing control at current levels.

However, the higher timeframes (4H, 8H) show extremely strong bearish trends, which means this bullish signal may only be a counter-trend bounce. The key resistance at 114.956 is the first major hurdle; a break above it could signal a more sustained reversal, while the nearest support at 109.231 is the invalidation zone. The moderate strength and 65% probability suggest this is a tactical long opportunity within a larger downtrend, not a trend reversal signal. Traders should watch for momentum to carry price toward resistance and monitor whether the higher-timeframe trend scores weaken.