AUD/JPY shows little reaction to Australia NAB data amid broad risk-on

Mixed data from Australian business survey.
Risk tone remains light on trade positive news.
Political developments to gain major attention amid lack of economics.

Anil Panchal FXStreet

With the mixed numbers of NAB business confidence and business conditions, the AUD/JPY pair remains modestly unchanged to 75.58 during early Tuesday.

The May month survey of business conditions and business confidence by the National Australia Bank flashed mixed signals as the former declined to 1 from 3 against the later one’s rise to 7 from 0.

Optimism surrounding China’s trade talks with the US and the absence of Mexican tariffs favor global risk sentiment off-late.

The closely watched risk barometer, the US 10-year treasury yield, gains nearly 2 basis points to 2.154% by the press time.

Moving on, talks surrounding the US-China trade could keep directing near-term pair momentum amid no major data scheduled for release.

Recently, the US President Donald Trump threatened to levy fresh tariffs on China if G20 fails to offer any chances of trade talks between the US and China. On the other hand, China press mentioned that the President Trump fears the dragon nation’s progress.

Technical Analysis

January 04 low around 75.24, and latest bottom surrounding 75.00 can entertain sellers ahead of 61.8% Fibonacci retracement level of January – April upside, at 74.52. Meanwhile, a confluence of the 21-day simple moving average (SMA) and 50% Fibonacci retracement level around 75.70 becomes tough upside resistance to clear in order to aim for 76.20.

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.

EUR/USD meets initial support around 1.1800

EUR/USD remains on the back foot, although it has managed to reverse the initial strong pullback toward the 1.1800 region and regain some balance, hovering around the 1.1850 zone as the NA session draws to a close on Tuesday. Moving forward, market participants will now shift their attention to the release of the FOMC Minutes and US hard data on Wednesday.

GBP/USD bounces off lows, retargets 1.3550

After bottoming out just below the 1.3500 yardstick, GBP/USD now gathers some fresh bids and advances to the 1.3530-1.3540 band in the latter part of Tuesday’s session. Cable’s recovery comes as the Greenback surrenders part of its advance, although it keeps the bullish bias well in place for the day.

Gold remains offered below $5,000

Gold stays on the defensive on Tuesday, receding to the sub-$5,000 region per troy ounce on the back of the persistent move higher in the Greenback. The precious metal’s decline is also underpinned by the modest uptick in US Treasury yields across the spectrum.

Ethereum Price Forecast: BitMine extends ETH buying streak, says long-term outlook remains positive

Ethereum (ETH) treasury firm BitMine Immersion continued its weekly purchase of the top altcoin last week after acquiring 45,759 ETH.

UK jobs market weakens, bolstering rate cut hopes

In the UK, the latest jobs report made for difficult reading. Nonetheless, this represents yet another reminder for the Bank of England that they need to act swiftly given the collapse in inflation expected over the coming months.

Ripple slides to $1.45 as downside risks surge

Ripple edges lower at the time of writing on Tuesday, from the daily open of $1.48, as headwinds persist across the crypto market. A short-term support is emerging at $1.45, but a buildup of bearish positions could further weaken the derivatives market and prolong the correction.