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18 Jun 2013
AUD/JPY hovering above 90.00
FXstreet.com (Barcelona) - The AUD/JPY is inching higher in Asia trade, at one point trading as high as 90.71 before giving up early gains and currently sitting up seven pips at 90.17.
RBA minutes release has little influence thus far
Earlier in the session, the RBA released the minutes from their most recent monthly meeting. Thus far, the release has had very little influence as the pair consolidates in a narrow range. FXstreet.com took a detailed look into the release and went on to breakdown some of the important developments. From the RBA: "Inflation outlook as currently assessed might provide some scope for further easing, should that be required to support demand." On the Australian Dollar, the central bank said the currency remains "noticeably" lower, yet still high relative to export prices. The RBA stated that "it is possible that the Australian dollar will fall further with the drop in terms of trade”, FXstreet.com added.
Technical set up still provides bearish influence
The FXstreet.com Trend Index remains in bearish set up on the daily chart. Furthermore, price remains below both the 9 and 20 dma’s which is also a bearish technical development. On a final note, the RSI (14) has been unable to build any value above the 40 level indicating momentum sellers may still hold a “sell the rally” vs. “buy the dip” mentality. Initial resistance sits at 91.54 (previous day high), while first support comes in at 89.93 (previous day low).
RBA minutes release has little influence thus far
Earlier in the session, the RBA released the minutes from their most recent monthly meeting. Thus far, the release has had very little influence as the pair consolidates in a narrow range. FXstreet.com took a detailed look into the release and went on to breakdown some of the important developments. From the RBA: "Inflation outlook as currently assessed might provide some scope for further easing, should that be required to support demand." On the Australian Dollar, the central bank said the currency remains "noticeably" lower, yet still high relative to export prices. The RBA stated that "it is possible that the Australian dollar will fall further with the drop in terms of trade”, FXstreet.com added.
Technical set up still provides bearish influence
The FXstreet.com Trend Index remains in bearish set up on the daily chart. Furthermore, price remains below both the 9 and 20 dma’s which is also a bearish technical development. On a final note, the RSI (14) has been unable to build any value above the 40 level indicating momentum sellers may still hold a “sell the rally” vs. “buy the dip” mentality. Initial resistance sits at 91.54 (previous day high), while first support comes in at 89.93 (previous day low).