The Australian dollar continues to get hammered by its Japanese counterpart so far this session, knocking-off AUD/JPY to fresh three-day lows of 82.82.
AUD/JPY faces double whammy
AUD/JPY extends its reversal from weekly tops of 83.94 into a second day today, as the bears remain in complete control amid risk-off market profile, weighing heavily on the higher-yielding currency AUD.
Markets remain risk-averse in the wake of sharp overnight declines in oil prices, as Sell the fact trading struck on the OPEC’s outcome to extend output cut deal by nine months.
Moreover, rising demand for the Yen on the back of upbeat Japanese inflation figures, continues to exert downward pressure on USD/JPY. Hence, size-able losses seen in USD/JPY collaborates to the sell-off in the AUD/JPY cross.
Markets now eagerly await the US dataflow due later in the NA session, with the US prelim GDP in focus for fresh impetus on the greenback, which will eventually have major influence on both the AUD and JPY.
Technical Levels
Higher side: 83.33/35 (5 & 50-DMA), 84.47/50 (Apr 5 high/ psychological levels), 84.86/85 (100-DMA/ round number)
Lower side: 82.50 (round figure), 82.37 (Classic S3), 81.71 (multi-week low)
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