AUDJPY Weekly Outlook (ICT & Smart Money Concepts Analysis)
AUDJPY is currently trading in a strong higher-timeframe bullish trend, but recent price action shows clear signs of short-term distribution and potential liquidity engineering at the highs. This creates a high-probability environment for both:
- Continuation trades (trend-following)
- Short-term reversal setups (mean reversion from premium zones)
This week will likely be driven by how price reacts around the 113.80–114.50 liquidity zone.
Macro Overview: AUDJPY Drivers This Week
AUDJPY is a risk-sensitive pair, heavily influenced by:
AUD (Risk Currency)
- Commodity demand (China outlook)
- Risk sentiment (equities)
- RBA policy expectations
JPY (Safe Haven Currency)
- BoJ monetary stance
- Yield curve control policies
- Risk-off flows
Core Narrative
- If markets remain risk-on → AUDJPY continues higher
- If markets shift risk-off → JPY strengthens → AUDJPY drops
Weekly Timeframe Analysis (Institutional Bias)
Structure
- Clear bullish trend since 2022 lows
- Strong sequence of:
- Higher highs
- Higher lows
- Multiple BOS confirmations
Current Positioning
- Price trading near weekly highs (~114.00–115.00)
- Approaching major buy-side liquidity
Key Zones
Premium (Sell Zone)
- 113.80 – 115.20
Discount (Buy Zone)
- 108.00 – 110.00
Weekly Insight
- Market is in premium pricing
- Expect:
- Liquidity sweep above highs
- Potential retracement
Daily Timeframe Analysis (Directional Context)
Structure
- Strong bullish trend intact
- Recent:
- BOS → continuation
- Weak high formation
Key Observations
- Price has formed:
- Equal highs (liquidity pool)
- Slight rejection at highs
Key Zones
Supply
- 114.00 – 115.00
Demand
- 110.50 – 111.50
Interpretation
- Likely scenario:
- Sweep highs → retrace
- Or consolidate before continuation
4-Hour Timeframe (Smart Money Behavior)
Structure
- Recent CHoCH after bullish run → early bearish signal
- Followed by:
- Pullback
- Attempted continuation
Zones
Supply
- 113.80 – 114.50 (weak highs / liquidity zone)
Demand
- 112.00 – 112.50
- 110.80 – 111.20
Liquidity Map
- Buy-side liquidity:
- Above 114.20
- Sell-side liquidity:
- Below 112.00
Insight
- Market likely:
- Sweeps highs first
- Then rotates lower
1-Hour Timeframe (Execution Layer)
Structure
- Mixed structure:
- Bullish trend
- But recent CHoCH → caution
Key Observations
- Sharp rejection from highs
- Weak bullish retracement
- Internal liquidity forming
Zones
Supply
- 113.80 – 114.20
Demand
- 113.00 – 113.20
Strategy
- Look for:
- Liquidity sweep above highs
- Bearish confirmation
30-Minute Timeframe (Sniper Entry Framework)
Current Behavior
- Consolidation near highs
- Building inducement
Setup Logic
- Equal highs → liquidity pool
- Ideal:
- Sweep highs
- Displacement down
Entry Model (ICT)
- Liquidity grab
- Market structure shift
- Entry from FVG / OB
High-Probability Trade Setups
🔴 Scenario 1: Bearish Reversal from Premium (Primary Setup)
Narrative
Smart money pushes price above equal highs → traps breakout traders → reverses into inefficiency.
Entry Plan
- Entry zone:
- 113.80 – 114.50
- Confirmation:
- 30M / 1H CHoCH
Stop Loss
- Above 114.80
Targets
- TP1: 113.00
- TP2: 112.20
- TP3: 111.00
Confluence
- Weekly premium
- Daily supply
- 4H distribution
- Equal highs liquidity
🟢 Scenario 2: Bullish Continuation (Trend Following)
Narrative
If price fails to break lower and instead reclaims structure, continuation resumes.
Entry Plan
- Entry zone:
- 112.80 – 113.00
- Confirmation:
- Bullish CHoCH
Stop Loss
- Below 112.20
Targets
- TP1: 114.20
- TP2: 115.00
Confluence
- Trend continuation
- Demand zone
- Risk-on sentiment
⚖️ Scenario 3: Range Consolidation
Range
- 112.80 – 114.20
Strategy
- Sell highs
- Buy lows
- Use intraday structure
ICT Concepts Applied
Key Smart Money Elements
- BOS → confirms trend
- CHoCH → signals reversal
- Equal highs → liquidity pool
- Order blocks → institutional entries
- Fair Value Gaps → inefficiencies
Primary Model
➡️ Liquidity Sweep → Displacement → Entry
Economic Events to Watch This Week
AUD (High Impact)
- RBA Monetary Policy Signals
- Employment Data
- China Economic Data (GDP, PMI)
➡️ Strong AUD:
- Bullish AUDJPY
➡️ Weak AUD:
- Bearish AUDJPY
JPY (High Impact)
- Bank of Japan Policy Statements
- Tokyo CPI
- BoJ Governor Speeches
➡️ Hawkish BoJ:
- Yen strength → AUDJPY falls
➡️ Dovish BoJ:
- Yen weakness → AUDJPY rises
Geopolitical & Market Drivers
Risk Sentiment
- Risk-on:
- AUD strengthens
- AUDJPY rises
- Risk-off:
- JPY strengthens
- AUDJPY drops
Additional Factors
- China growth outlook
- Commodity prices (iron ore)
- Global equity markets
Institutional Outlook Summary
Bullish Case
- Holds above 112.50
- Breaks 114.50 → targets 116
Bearish Case
- Rejects 114.00–114.50
- Breaks 112.80 → targets 111
Trading Plan Summary
Bias
- Higher timeframe → Bullish
- Short-term → Potential bearish correction
Best Strategy
- Sell premium zones
- Buy confirmed demand
Key Levels
- Resistance: 113.80 – 114.50
- Support: 112.80 – 113.00
Final Insight (Professional Perspective)
AUDJPY is currently in a textbook smart money distribution zone, where:
- Retail traders are buying breakouts
- Institutions are likely offloading positions
Highest Probability Setup
➡️ Liquidity sweep above 114 → bearish reversal toward 112–111
Important Reminder
- Do not anticipate → wait for confirmation
- Let liquidity be taken first
- Enter only after structure shift


