AUD/JPY Price Analysis: Slides to 12-day-old support near 94.50 on mixed Aussie data
- AUD/JPY drops to key support line on mixed data, takes offer of late.
- Sustained break of 200-HMA favor sellers to break nearby support.
- Weekly low lures intraday bears, buyers need validation from 95.70.
AUD/JPY takes offers to renew intraday low around 94.50 after mixed Aussie data favored bears during Thursday’s Asian session.
Australia’s preliminary Retail Sales for June eased while posting a 0.2% monthly growth compared to the market forecasts of 0.5% and 0.9% in previous readings. Further, the second quarter (Q2) Import Price Index and Export Price Index came in mixed as the former arrived better-than-expected 1.9% but the later data eased to 10.7% versus 19.7% expected and 18.0% forecasts.
In addition to the data, a clear downside break of the 200-HMA and bearish MACD signals also keep AUD/JPY bears hopeful.
That said, an upward sloping support line from July 12, at 94.50 by the press time, restricts the AUD/JPY pair’s immediate downside moves.
Following that, the weekly low of 93.89 and 61.8% Fibonacci retracement of the July 12-20 run-up near 93.40 will gain the market’s attention.
On the contrary, an upside break of the 200-HMA level near 94.90, needs validation from the 95.00 round figure to recall the AUD/JPY buyers.
Even so, the double-tops formation around 95.70-75 appears a tough nut to crack for the bulls.
AUD/JPY: Hourly chart
Trend: Further weakness expected
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
