AUDJPY is inching higher towards 94.00 as the focus has shifted to Tuesday’s RBA policy minutes. (Pivot Orderbook analysis)

…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for PREMIUM VERSION HERE to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level4)]

• AUDJPY is inching higher towards 94.00 as the focus has shifted to Tuesday’s RBA policy minutes.
• RBA minutes will provide a detailed explanation behind keeping the pace of the rate hike at 25 bps.
• Japan’s Kanda reiterated that officials are closely watching forex moves with a high sense of urgency.

The pair currently trades last at 93.65.

The previous day high was 94.38 while the previous day low was 92.94. The daily 38.2% Fib levels comes at 93.49, expected to provide support. Similarly, the daily 61.8% fib level is at 93.83, expected to provide resistance.

The AUDJPY pair has extended its recovery after overstepping the immediate hurdle of 93.50 in the Tokyo session. The risk barometer is now marching towards the round-level hurdle of 94.00 as volatility has been trimmed amid a stellar recovery in the S&P500. Also, US Treasury yields have witnessed a bloodbath after a significant drop in inflation numbers.

Earlier, the cross found fresh demand near 93.00 after remaining in a negative trajectory for the past two trading sessions. The asset has picked bids as investors are shifting their focus toward the Reserve Bank of Australia (RBA)’s monetary policy minutes.

The RBA minutes will display the entire reasoning behind the announcement of the interest rate hike by 25 basis points (bps) despite a historic surge in inflationary pressures. For the third quarter, Australia’s inflation rate climbed to 7.3% vs. the projections of 7.0% and the prior release of 6.1%.

RBA Governor Philip Lowe was expected to return to a 50 bps hike regime for the Official Cash Rate (OCR). It seems that the RBA wants to capitalize on its frequent monetary policy meetings by announcing smaller rate hikes.

Meanwhile, Japan’s top currency diplomat Masato Kanda reiterated that officials are closely watching forex market moves with a high sense of urgency and that if needed. ”Authorities remained ready to take action.”, reported Reuters.

On the economic data front, investors are awaiting the release of Tuesday’s Gross Domestic Product (GDP) report. The economic data is seen lower at 0.3% vs. the prior release of 0.9% on a quarterly basis while the annualized figure may decline to 1.1% from the former release of 3.5%.

Technical Levels: Supports and Resistances

AUDUSD currently trading at 93.65 at the time of writing. Pair opened at 93.44 and is trading with a change of 0.22 % .

The pair is trading below its 20 Daily moving average @ 94.22, below its 50 Daily moving average @ 94.54 , below its 100 Daily moving average @ 94.25 and above its 200 Daily moving average @ 92.01

The previous day high was 94.38 while the previous day low was 92.94. The daily 38.2% Fib levels comes at 93.49, expected to provide support. Similarly, the daily 61.8% fib level is at 93.83, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 92.8, 92.15, 91.36
• Pivot resistance is noted at 94.23, 95.02, 95.67

[/s2If]
Join Our Telegram Group