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21 Oct 2014
AUD/JPY could get offered on China
FXStreet (Barcelona) - AUD/JPY is trading at 93.94, up 0.01% on the day, having posted a daily high at 94.05 and low at 93.89
AUD/JPY some activity will likely unfold around the RBA’s minutes and China’s data releases. The RBA minutes are perhaps not the likely candidate for a massive showdown though but markets will be interested nonetheless in respect of investor commitments to the housing sector and indeed notes with regard to the value of the Australian dollar. In that respect a speech by RBA Deputy Governor Philip Lowe, titled “Investing in a Low Interest Rate World” in the Sydney evening could spark some fireworks if in the Q&A session if there are comments made around the Aussie dollar and indeed chatter around rate cuts as pointed out by Sean Callow, analyst at Westpac Banking Corporation ABN.
AUD/JPY on the left into China GDP
From China, the PBoC has been signalling, by taking preventative action, that the economy is slowing down when they recently injected 700 billion yuan into the banking system on separate occasions trying to get the economy liquid with two short term cuts to the borrowing rates for banks also. A number much lower than anticipated from the GDP result could damage the AUD/JPY, sparked in Asia, with the Yen benefitting from a flight to safety and a follow through could be expected in European trade also s a further blow to global growth outlooks.
AUD/JPY noteworthy levels
With spot trading at 93.95, we can see next resistance ahead at 94.05 (Daily High), 94.24 (Yesterday's High), 94.33 (Daily Classic R2), 94.61 (Daily 200 SMA) and 94.74 (Weekly Classic R1). Support below can be found at 93.93 (Daily Open), 93.89 (Daily Classic R1), 93.89 (Daily Low), 93.89 (Hourly 200 SMA) and 93.88 (Hourly 20 EMA).
AUD/JPY some activity will likely unfold around the RBA’s minutes and China’s data releases. The RBA minutes are perhaps not the likely candidate for a massive showdown though but markets will be interested nonetheless in respect of investor commitments to the housing sector and indeed notes with regard to the value of the Australian dollar. In that respect a speech by RBA Deputy Governor Philip Lowe, titled “Investing in a Low Interest Rate World” in the Sydney evening could spark some fireworks if in the Q&A session if there are comments made around the Aussie dollar and indeed chatter around rate cuts as pointed out by Sean Callow, analyst at Westpac Banking Corporation ABN.
AUD/JPY on the left into China GDP
From China, the PBoC has been signalling, by taking preventative action, that the economy is slowing down when they recently injected 700 billion yuan into the banking system on separate occasions trying to get the economy liquid with two short term cuts to the borrowing rates for banks also. A number much lower than anticipated from the GDP result could damage the AUD/JPY, sparked in Asia, with the Yen benefitting from a flight to safety and a follow through could be expected in European trade also s a further blow to global growth outlooks.
AUD/JPY noteworthy levels
With spot trading at 93.95, we can see next resistance ahead at 94.05 (Daily High), 94.24 (Yesterday's High), 94.33 (Daily Classic R2), 94.61 (Daily 200 SMA) and 94.74 (Weekly Classic R1). Support below can be found at 93.93 (Daily Open), 93.89 (Daily Classic R1), 93.89 (Daily Low), 93.89 (Hourly 200 SMA) and 93.88 (Hourly 20 EMA).