AUD/JPY – Ten day range intact

Offered tone around Yen gathered pace possibly on intervention talks, pushing AUD/JPY cross higher to 77.27, however, the pair still remains restricted to a ten-day range of 76.00-77.50.

Eyeing weekly gains

The cross is eyeing weekly gains, given it currently sits well above its weekly opening price of 76.60. The gains largely represent Aussie strength since Japanese Yen strengthened sharply following BOJ rate decision.

The risk-on sentiment in the financial markets is also ensuring the bird stays in the positive territory on weekly basis. However, a 70-pips drop could happen before today’s NY closing, especially if markets react to flattening of the Japanese yield curve by sending Yen higher.

AUD/JPY Technical Levels

Immediate hurdle is seen at 77.47 (weekly 10-DMA), above which the cross could target 78.04 (50-DMA). The daily MACD is about to turn positive. On the lower side, the daily low of 76.97 could offer some support ahead of 76.40 (Pivot S1) and 76.00 levels (zero figure).