AUD/JPY Price Analysis: Looks set to visit immediate support below 85.00 ahead of RBA

AUD/JPY prints mild losses while stepping back from two-week-old horizontal resistance.
Bearish MACD, downbeat market sentiment backs further weakness ahead of the key event.
RBA is likely to keep the benchmark rate, bond purchase unchanged but Rate Statement will be the key to watch.

Anil Panchal FXStreet

AUD/JPY bounces off intraday low while picking up bids to 84.60, down 0.05% on a day, during early Tuesday. Even so, the quote registers another failure to cross the horizontal hurdle established since April 20.

Not only the nearby resistance area close to 84.75-70 but the market’s risk-off mood and cautious sentiment ahead of the Reserve Bank of Australia’s (RBA) monetary policy meeting also weigh on the quote.

Read: AUD/USD remains pressured around mid-0.7700s on downbeat Australia trade data, RBA eyed

Given the bearish MACD and the latest pullback moves, AUD/JPY is more likely to retest an ascending support line from April 22, around 84.40, should the RBA disappoint markets.

However, any further weakness past-84.20 will be challenged by the 200-SMA level of 83.90.

On the flip side, optimistic comments from the RBA could again help AUD/JPY to battle the 84.70-75 immediate resistance area.

It should be noted that a clear rise beyond 84.75 will propel the quote to the previous month’s high near the 85.00 threshold ahead of targeting March’s high near 85.45.

AUD/JPY four-hour chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price	84.6
Today Daily Change	-0.04
Today Daily Change %	-0.05%
Today daily open	84.64

Trends
Daily SMA20	83.96
Daily SMA50	83.84
Daily SMA100	81.98
Daily SMA200	79.02

Levels
Previous Daily High	84.75
Previous Daily Low	84.24
Previous Weekly High	85.01
Previous Weekly Low	83.5
Previous Monthly High	85.01
Previous Monthly Low	83.04
Daily Fibonacci 38.2%	84.56
Daily Fibonacci 61.8%	84.44
Daily Pivot Point S1	84.34
Daily Pivot Point S2	84.04
Daily Pivot Point S3	83.83
Daily Pivot Point R1	84.84
Daily Pivot Point R2	85.05
Daily Pivot Point R3	85.35

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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