AUD/JPY hit 5-day low on dismal Aussie trade data
|- The AUD is being offered after Aussie Oct. trade numbers.
- The AUD/JPY hit a 5-day low of 84.80.
The sell-off in the AUD/JPY pair appears to have resumed after the data released in Australia showed the trade surplus narrowed in October.
The cross was last seen trading around a five-day low of 84.80 levels. The Aussie trade surplus narrowed to AUD 105 million in October from the September figure of AUD 1604 million. The markets were expecting a trade surplus of AUD 1375 million. Also, exports dropped 3 percent. The dismal trade numbers come a day after the GDP reading showed the consumers shut their wallets in three months to September.
Lower highs pattern intact
Tuesday's failure to take out 200-day MA hurdle followed by a sharp drop to sub-85.00 levels left another lower high on the daily chart. The pattern indicates the corrective rally from the Nov. 27 low of 84.35 may have ended.
The rejection at 85.04 (61.8% Fib R of Jun. 6 low - Sep. 21 high) and a drop to 84.80 levels today only validates the bearish price action seen earlier this week.
AUD/JPY Technical Levels
A break below 84.64 (Nov. 17 low) would open up downside towards 84.35 (Nov, 27 low) and 84.00 (psychological levels). On the other hand, a move above 85.04 (61.8% Fib R of Jun. 6 low - Sep. 21 high) would expose 85.23 (5-day MA) and 85.47 (Nov. 16 low).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.