- The AUD/JPY is currently trading at 96.32, recording a loss of 0.30%.
- According to daily chart indicators, negative RSI trajectory and ascending red MACD histogram hint bearish momentum.
- Hourly chart indicators imply bearish pressure has eased with a rebound in bulls evident in positive RSI slope and flat MACD bars.
In Monday's session, the AUD/JPY pair lost ground, with a low of 96.32 following a previous high of 96.80 earlier in the day. On the fundamental side, markets await the Reserve Bank of Australia meeting on Tuesday where investors will look for clues for forward guidance which could set the pace of the cross for the week. The technical outlook for the pair remains neutral to bearish on the daily chart, although recent activity shows the bulls regaining some ground on the hourly chart.
AUD/JPY levels to watch
According to the daily chart, it is showing a neutral to bearish outlook. The negative territory and declining slope of the Relative Strength Index (RSI) indicates a bearish momentum. Simultaneously, the Moving Average Convergence Divergence (MACD) histogram showcases increasing sake of red bars which signals the short-term downward pressure. Nevertheless, despite the shorter-term momentum suggesting bearish sentiment, when looking at the Simple Moving Averages (SMAs), the pair is evidently below the 20-day SMA but bulls are presenting battle at the 100-day SMA and is still above the 200-day average. This indicates that in the larger picture, bulls maintain a stronghold.
Moving onto the shorter-term outlook given by the hourly chart, it presents a slightly different picture. On this timeframe, despite the bears taking a step back and allowing for some recovery, the bullish force is merely reflected as a retaliation rather than a comeback. The Relative Strength Index (RSI) although in negative territory, boasts a positive slope indicative of some bullish pushback. The Moving Average Convergence Divergence (MACD) echoes this sentiment with flat red bars. However, the buying momentum is not sufficient to negate the dominant selling sentiment, but it does put forth a pause in the bearish outlook of the session.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
GBP/USD tepid as UK election results poised to match early polls, US NFP looms ahead
GBP/USD traded in a tight range on Thursday as Cable traders await final results from the UK’s Parliamentary Election, and markets gear up for a fresh round of US Nonfarm Payrolls slated for Friday. US markets were dark on Thursday, crimping overall market flows during the American trading window, but are slated to return on Friday.
AUD/USD holds its ground, markets eye key NFPs from the US from June
The Australian Dollar held its ground against the USD, maintaining itself in highs since January. This is despite the weaker-than-expected Trade Surplus figures reported during the Asian session as the USD remains weak following Wednesday’s set of soft economic figures reported.
Gold price consolidates amid choppy trading ahead US NFP
Gold price edge up 0.15% amid thin trading on US Independence Day. XAU/USD reached a two-week high of $2,365 Wednesday, driven by weak US jobs data and heightened Fed rate cut expectations. Traders shift focus to Friday's NFP report.
Ethereum bears gain momentum after ETH breaches key support level
Ethereum is down more than 5% on Thursday following the US SEC failure to approve ETH ETF issuers' S-1 drafts. Meanwhile, the recent decline has strengthened the bearish outlook after ETH moved below a key support level, sparking $90 million in long liquidations.
Labour wins a landslide, as Pound is unconcerned by Starmer government
What a difference five years makes, Labour have turned themselves around and are on course to win 410 seats and a 170-seat majority, according to the exit polls conducted by the main UK broadcasters.