Filed Under:
Forex pairs in this Article » AUD/USD, USD/JPY (Barcelona) - Emmanuel Ng of OCBC Bank notes that USDJPY remains at the mercy of political and central bank rhetoric while AUD has suffered at the hand of soft data.

Starting with USDJPY, he notes that in the near term, the pair may continue to push the envelope on the upside with buoyant JPY-crosses acting as a backdrop, although 93.80 is seen as an immediate resistance. He feels that with the BOJ expected to be the most dovish central bank on the street, investors may continue to deem a weak-JPY trade as the path of least resistance for now.

Looking to AUDUSD, Ng notes that the weaker than expected retail sales numbers rubbed salt into the AUD's wounds this morning and with the breach of 1.0400, markets may potentially look to the 200-day MA (1.0312) before the psychological 1.0300 level. He finishes by writing, "Meanwhile, the relative under performance of the Aussie continues to be demonstrated by the AUD-NZD, with the cross having staged a concerted break below the 1.2400 level."
comments powered by Disqus