- Aussie taking a breather at recent highs near 84.00.
- Aussie Trade Balance will be the figure to watch today, as a miss could send the AUD back down after recent gains.
The AUD/JPY is looking set to top out, flattening out in intraday action as the pair chatters along the ceiling near March’s highs. The pair is currently trading near 84.40 ahead of Australian Trade Balance figures.
AUD bidders may be hesitating in early Asia trading after the AiG Performance of Construction Index for May came in at 54, a slight decline from the previous reading of 55.4; traders are now waiting for the Australian Trade Balance numbers, which drop at 01:30 GMT and are expected to print at an even 1 billion in AUD terms, compared to the previous reading of 1.527 billion.
Market sentiment in Asia could also be taking a hesitant step backwards after Foreign Investment figures for Japan largely missed the mark, with foreign investment in Japanese stocks to June 1st declining by ¥-527.6 billion versus the previous reading of ¥-380 billion, while foreign investment in bonds also quickened its pace of contraction, falling to ¥-1.665 trillion after the previous reading of ¥-700 billion.
AUD/JPY levels to watch
The pair is holding onto recent highs, with action steady at the current ceiling of 84.50, a level the Aussie has repeatedly tried, and failed, to break since hitting the wall for the first time in March. Support is resting at the current channel’s midline, a confluence with the 50-day EMA at near the 83.00 major handle, with further support at the current channel’s lower boundary near 81.00, the next major psychological level.
Share
