FxWirePro: AUD/JPY Edges Lower from Session Highs at 84.77, Further Upside
- AUD/JPY hit fresh nine-day highs of 84.77, and there is scope for test of 85 levels.
- Upside in the pair gathered significant pace after release of RBA’s Financial Stability Review (FSR).
- FSR noted that the Australian financial system remains in good shape and “overall household resilience remains sound, supported by jobs growth and low rates.”
- The Chinese macro updates came in positive, with the GDP figures meeting expectations, while the industrial production, retail sales and fixed asset data outpacing estimates.
- Data triggered a renewed risk-on wave in the markets and sent the higher-yielding currencies such as the AUD higher.
- Our previous call (http://www.econotimes.com/FxWirePro-AUD-JPY-extends-gains-above-10-DMA-at-8350-stay-long-193866) has hit all targets.
- We advise booking full profits for now. AUD/JPY finds strong resistance at 84.80/90 zone. Breaks above could see test of 85.40 and then 85.70 levels.
The material has been provided by InstaForex Company - www.instaforex.com