AUD/USD drops post RBA meeting but EUR/JPY and USD/JPY rise as BoJ hikes
AUD/USD drops as RBA keeps rates on hold but EUR/JPY and USD/JPY rise as BoJ hikes for the first time in seventeen years.
AUD/USD drops like a stone
AUD/USD's move lower from its March high at $0.6667 has taken through the 200-day simple moving average (SMA) at $0.6557, now resistance, towards the February-to-March uptrend line at $0.6502 as the Reserve Bank of Australia (RBA) kept its rates on hold but retained a dovish tone.
Further down sits the $0.6478 early March low.
EUR/JPY nears key resistance
EUR/JPY's ascent from its ¥160.22 mid-March low is heading towards key resistance at ¥163.71-72 as the Bank of Japan (BoJ) scrapped its yield curve control and raised its rates for the first time in seventeen years. Above ¥163.71-72 lies the ¥164.31 mid-November peak.
Minor support now sits at Monday's ¥162.68 high.
USD/JPY on track for sixth straight day of gains
USD/JPY's swift advance is taking it back towards its ¥150.83 to ¥150.88 February highs and key resistance zone despite the BoJ hiking its rates for the first time in 17 years from -0.1% to 0-0.1%.
The central bank also discontinued ETF and J-REIT purchases, is to reduce corporate bond purchases and discontinue these in about a year, removed its yield curve control program but continues purchasing government bonds. Above ¥150.88 lurks the ¥151.73 October peak. Minor support sits at the ¥149.54 mid-February low.
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