By Candice Zachariahs March 30 (Bloomberg) -- The Australian dollar may advance to its strongest since September 2008 against the yen on a break above so-called resistance near 85.60 yen, Royal Bank of Scotland Plc said, citing trading patterns. That’s the 61.8 percent Fibonacci retracement of the Aussie dollar’s slide from its 2008 high of 104.50 yen to that year’s low of 55.13 yen. A rise above 85.60 could see the currency gain toward 92.85 yen, the 76.4 percent Fibonnacci retracement, before climbing to 100 yen over 12 months, the bank said. “It’s a bullish signal if the Australian dollar breaks that level,” said Greg Gibbs, a currency strategist at RBS in Sydney. “After that, there isn’t any significant resistance until you get to something in the order of 92.80 to 93 yen.” Australia’s currency traded at 85.19 yen as of 7:20 a.m. in London from 84.85 yen in New York yesterday. It has gained 7 percent against Japan’s currency this month and 2 percent since the start of the year. Fibonacci analysis is based on a theory that prices rise or fall by certain percentages after reaching a high or low. Key percentages include 38.2, 50 and 61.8 and 76.4. A break above resistance, where sell orders may be clustered, or below support, where there may be buy orders, indicates a currency may move to the next level. In technical analysis, investors and analysts study charts of trading patterns and prices to forecast price changes in a security, commodity, currency or index. To contact the reporter on this story: Candice Zachariahs in Sydney at czachariahs2@bloomberg.net

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