AUD/JPY Uptrend Continues as Bulls Await Breakout Above 50% Fibo.
The AUD/JPY cross has been on an uptrend for the seventh consecutive day, with prices trading around the 112.15-112.20 region and up nearly 0.15% for the day.
The Japanese Yen's relative underperformance is attributed to the Bank of Japan's (BoJ) surprisingly dovish decision last Friday, while the Australian Dollar draws support from Reserve Bank of Australia (RBA) Governor Michele Bullock's hawkish remarks.
However, JPY intervention fears might hold back traders from placing fresh bullish bets on the currency pair. Technical analysis suggests that prices are marginally above the 100-day Exponential Moving Average (EMA) at 112.16, but remain capped beneath a dense Fibonacci stack, the 50.0% retracement at 112.34 and the 61.8% level at 112.96.
The Moving Average Convergence Divergence (MACD) has turned positive, and the Relative Strength Index (RSI) hovers around 52, indicating modest recovering momentum rather than a decisive trend shift. Initial resistance is expected at the 50.0% retracement at 112.34, followed by the 61.8% level at 112.96.