- Risk appetite is looking balanced this week as the Aussie and Yen struggle to make headway against each other.
- Tuesday sees China data that could drive the broader Asia session.
The AUD/JPY is holding near 83.35 in the early Tuesday markets, heading into a densely-packed Asia session.
The pair traded mostly flat through Monday's action, continuing Friday's back-and-forth as markets cycle tightly in risk appetite, although last week's Middle East market tensions over Syria cooled off over the weekend and traders are unsure of how to play their next step.
The Aussie sees the Reserve Bank of Australia's (RBA) Meeting Minutes at 01:30 GMT, though much of what the RBA discussed was likely telegraphed by the RBA's Governor, Philip Lowe, at his last speech. Movement from the minutes is unlikely to develop, though traders will be keeping a close eye on the report to see if the RBA has budged from their wait-and-see position on monetary policy actions amidst middling economic data for Australia.
After that, the Asia theater sees a slew of Chinese data expected at 02:00 GMT, the most notable of which will be the quarterly GDP figures, with the quarter-on-quarter figure expected at 1.5 percent versus the previous reading of 1.6.
AUD/JPY Levels to watch
The pair has recovered steadily from a bottom of 80.50 in late March, but this has less to do with intrinsic strength in the Aussie and more about the Yen walking back from an overvalued position in the broader markets, and a successful scaling of last week's high at the 84.00 major handle will run into further resistance at March's high of 84.50, with support pricing in from the last swing low at 82.70 and further support from March's lows from 81.25 to 80.50.
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD stabilizes near 1.0800 as trading action turns subdued
EUR/USD holds steady near 1.0800 on Thursday and remains on track to end the day in negative territory following upbeat macroeconomic data releases from the US. The action in financial markets turn subdued as trading volumes thin out heading into Easter holiday.
GBP/USD extends sideways grind above 1.2600
GBP/USD fluctuates in a narrow channel above 1.2600 on Thursday. The better-than-expected Initial Jobless Claims data from the US and the upward revision to the Q4 GDP growth help the USD stay resilient against its rivals and limits the pair's upside.
Gold pulls away from daily highs, holds above $2,200
Gold retreats from daily highs but holds comfortably above $2,200 in the American session on Thursday. The benchmark 10-year US Treasury bond yield stays near 4.2% after upbeat US data and makes it difficult for XAU/USD to gather further bullish momentum.
XRP price falls to $0.60 support as Ripple ruling doesn’t help Coinbase lawsuit against SEC
XRP programmatic sales ruling by Judge Torres was completely rejected by another US Court that ruled in favor of the SEC in a lawsuit against Coinbase.
Portfolio rebalancing and reflation trades emerge into Q2
Yesterday’s price action pointed at a possible end-of-quarter portfolio rebalancing as the session saw the laggards of the quarter like Apple and Tesla gain, and the stars like Microsoft and Nvidia retreat.