The AUD/JPY cross loses its recovery momentum during the early European session on Tuesday. The Japanese Yen (JPY) attracts some buyers following the Bank of Japan (BoJ) Governor Kazuo Ueda's speech. AUD/JPY currently trades near 97.30, up 0.01% on the day.
After the BoJ decided to maintain the policy settings and forward guidance unchanged at the January policy meeting, BoJ Governor Kazuo Ueda stated that the likelihood of achieving the 2% inflation target is rising gradually. He further added that the central bank must continue to monitor financial and foreign exchange market moves and their impact on prices and the economy.
Technically, the bullish outlook of AUD/JPY remains intact as the cross holds above the 50- and 100-period Exponential Moving Averages (EMA) with an upward slope on the four-hour chart. The upward momentum is supported by the Relative Strength Index (RSI) which stands above the 50-midline, indicating further upside looks favorable.
The immediate resistance level will emerge near a high of January 19 at 97.76. Any follow-through buying above the latter will see a rally to the upper boundary of the Bollinger Band at 97.90. Further north, the next hurdle is seen at a high of November 28 at 98.38, followed by a high of November 24 at 98.50.
On the flip side, the initial support level for AUD/JPY is seen at the 50-period EMA at 97.24. The key contention level for the cross is located in the 97.00–97.05 region, representing the confluence of the 100-period EMA and the limit of the Bollinger Band. The additional downside filter to watch is a low of January 18 at 96.83, en route to a low of January 16 at 96.60.
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.