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2 Apr 2014
AUD/JPY dropping 20 pips and recovering
FXStreet (Guatemala) - AUD/JPY is trading at 95.76, down -0.08% on the day, having posted a daily high at 95.93 and low at 95.64.
AUD/JPY dropped 20 pips but recovered again post poor results from the economy in the form of February building permits missing expectations of -2.5% and arriving at -0.5% month on month. Yesterday, markets took note of the statement from the RBA continued to indicate a period of stable rates which took the heat out of the Aussie.
AUD/JPY remains bullish
The undertone to the pair is however bullish and largely based upon a soft yen. "A large negative hit to the Japanese’s economy from the sales tax hike would likely trigger further monetary easing from the BoJ by the end of Q2
potentially triggering an accelerated yen sell off", noted Lee Hardman, strategist at The Bank of Tokyo-Mitsubishi UFJ, Ltd.
AUD/JPY Levels
With spot trading at 95.77, we can see next resistance ahead at 95.84 (Monthly High), 95.84 (Weekly High), 95.85 (Daily Open), 95.93 (Daily High) and 96.02 (Daily Classic R1). Support below can be found at 95.74 (Hourly 20 EMA), 95.64 (YTD High), 95.64 (Daily Low), 95.40 (Daily Classic PP) and 95.37 (Yesterday's Low).
AUD/JPY dropped 20 pips but recovered again post poor results from the economy in the form of February building permits missing expectations of -2.5% and arriving at -0.5% month on month. Yesterday, markets took note of the statement from the RBA continued to indicate a period of stable rates which took the heat out of the Aussie.
AUD/JPY remains bullish
The undertone to the pair is however bullish and largely based upon a soft yen. "A large negative hit to the Japanese’s economy from the sales tax hike would likely trigger further monetary easing from the BoJ by the end of Q2
potentially triggering an accelerated yen sell off", noted Lee Hardman, strategist at The Bank of Tokyo-Mitsubishi UFJ, Ltd.
AUD/JPY Levels
With spot trading at 95.77, we can see next resistance ahead at 95.84 (Monthly High), 95.84 (Weekly High), 95.85 (Daily Open), 95.93 (Daily High) and 96.02 (Daily Classic R1). Support below can be found at 95.74 (Hourly 20 EMA), 95.64 (YTD High), 95.64 (Daily Low), 95.40 (Daily Classic PP) and 95.37 (Yesterday's Low).