#AUDJPY @ 96.0830 stabilizes above 96.00, more upside seems favored ahead of RBA minutes. (Pivot Orderbook analysis)

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• AUD/JPY stabilizes above 96.00, more upside seems favored ahead of RBA minutes.
• The BOJ is expected to avoid a dovish commentary and will shift to a ‘neutral’ stance on interest rates.
• Japan’s National core CPI is seen higher at 1.7% vs. 1.2% on costly oil imports amid a weaker yen.

The pair currently trades last at 96.0830.

The previous day high was 96.44 while the previous day low was 95.55. The daily 38.2% Fib levels comes at 95.89, expected to provide support. Similarly, the daily 61.8% fib level is at 96.1, expected to provide resistance.

The AUD/JPY pair has faced a less-confident hurdle at 96.20 after a firmer rebound from the critical support of 95.60 in the Asian session. The cross is expected to demolish the above-mentioned hurdle sooner and will resume its upside journey above 96.50. The asset is expected to display topsy-turvy moves ahead of the interest rate decision by the Bank of Japan (BOJ), which will be announced on Thursday.

As BOJ is preparing for an intervention in the Fx moves to support the depreciating yen against the G-7 currencies, a shift in policy stance is highly expected by the market participants. BOJ’s Haruhiko Kuroda is not in a position to scale up the interest rates as the price rise index and Japan’s growth rate are not supporting the same. The economy has failed in accelerating price pressures despite a prolonged ultra-loose monetary policy. So a ‘neutral’ stance is expected and no further stimulus will be provided.

But before that, the release of Japan’s National Consumer Price Index (CPI) also holds significant importance. The headline CPI is expected to remain steady at 2.6% while the core CPI will scale higher to 1.7% against the former print of 1.2%. The depreciating yen is resulting in costly fossil fuels for Japan and eventually higher energy bills for households.

On the Aussie front, investors focusing on the release of the minutes from the Reserve Bank of Australia (RBA) of the September monetary policy meeting. This will provide a detailed version of the ideology of the RBA policymakers behind announcing a fourth consecutive 50 basis points (bps) interest rate hike. Also, it will provide the current economic situation and further prospects.

Technical Levels: Supports and Resistances

AUDJPY currently trading at 96.07 at the time of writing. Pair opened at 96.02 and is trading with a change of 0.05 % .

The pair remains strongly bullish on the daily timeframe. It trades above its 20 SMA @ 95.96, 50 SMA 94.73, 100 SMA @ 93.64 and 200 SMA @ 89.74.

The previous day high was 96.44 while the previous day low was 95.55. The daily 38.2% Fib levels comes at 95.89, expected to provide support. Similarly, the daily 61.8% fib level is at 96.1, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 95.57, 95.12, 94.68
• Pivot resistance is noted at 96.46, 96.89, 97.34

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