AUD/JPY – Bear grip intact after RBA minutes

AUD keeps sliding despite data dependent RBA and amid Yen strength, taking the AUD/JPY to a session low of 79.38 levels.

Yen strength adding to bearish tone

The cross was on the back foot since early Asia, courtesy of the weakness in the Aussie as markets expected the RBA would build ground for a move in August via minutes. Meanwhile, Japanese Yen caught a fresh bid wave as well, although there is no clear catalyst for the same.

Moreover, RBA minutes provided no hint of a rate cut in August and reiterated bank’s data dependent stance. Still, the offered tone around AUD refuses to relax. Consequently, the cross dipped to 79.38 before recovering to 79.60 levels.

AUD/JPY Technical Levels

The immediate support is seen at 79.12 (Friday’s low), under which the cross could target 78.51 (hourly 200-MA). A violation there could yield 79.00 handle. On the higher side, resistance is seen at 80.12 (hourly 100-MA), above which the cross could move to 80.78 (Monday’s high). A violation would open doors for 81.00 levels.