Yen depreciation leads to rising EUR/JPY, USD/JPY with AUD/USD advancing as well
Yen depreciation leads to verbal intervention but EUR/JPY and USD/JPY still rise. February RBA minutes have little impact on AUD/USD.
EUR/JPY still grapples with resistance
On Monday EUR/JPY only briefly exceeded its ¥161.63 high and rose to ¥162.00 before slipping back to its accelerated uptrend line which earlier today held, though.
Upside pressure should be maintained while the 13 February high at ¥161.63 and, more importantly, Thursday's low at ¥160.92, hold.
If ¥160.92 were to be slid through, last Monday's ¥160.39 low and the 5 February high at ¥160.27 would be back in view.
USD/JPY remains bullish while above ¥149.54
Last week's minor retracement lower in the USD/JPY pair from its four-month high at ¥150.88 to Thursday's ¥149.54 low has been followed by the gradual resumption of the up move.
A rise above last Tuesday's ¥150.88 high is still needed for the October-to-November record highs at ¥150.91-94 to be reached.
A fall through Thursday's low at ¥149.54 would put the ¥148.89-80 support zone back on the map.
AUD/USD flirts with resistance
AUD/USD's tumble from its five-month December high at $0.6871 has taken it to last week's $0.6443 three-month low from which it is still recovering for a potential fifth consecutive day.
The cross needs to overcome Monday's $0.6551 high to reach the 200-day simple moving average (SMA) at $0.6563.
Positive divergence on the daily relative strength index (RSI) still increases the odds of a bullish reversal to form.
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.
Start trading forex today
Find opportunity on the world’s most-traded – and most-volatile – financial market.
- Trade spreads from just 0.6 points on EUR/USD
- Analyse with clear, fast charts
- Speculate wherever you are with our intuitive mobile apps
See an FX opportunity?
Try a risk-free trade in your demo account, and see whether you’re onto something.
- Log in to your demo
- Take your position
- See whether your hunch pays off
See an FX opportunity?
Don’t miss your chance – upgrade to a live account to take advantage.
- Get spreads from just 0.6 points on popular pairs
- Analyse and deal seamlessly on fast, intuitive charts
- See and react to breaking news in-platform
See an FX opportunity?
Don’t miss your chance. Log in to take your position.
Live prices on most popular markets
- Equities
- Indices
- Forex
- Commodities
Prices above are subject to our website terms and agreements. Prices are indicative only. All share prices are delayed by at least 15 minutes.
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.
