FXStreet (Mumbai) – The Australian dollar continues to smash the Japanese yen in the late-Asian trades, lifting AUD/JPY to fresh session highs above 95 barrier, after Reserve Bank of Australia’s (RBA) unchanged monetary policy decision lifted the AUD bulls as the central bank asses impact of the previous 2 rate cuts.
AUD/JPY rises from 123.61 lows
Currently, the AUD/JPY pair trades 0.86% higher at fresh session highs of 95.78., aiming for 96 handle. The AUD/JPY cross accelerate gains as the Aussie received fresh impetus following RBA’s rates on hold decision. However, the central bank also left scope for easing this year in its policy announcement.
Today the RBA kept the cash rate at 2%, but said that future information on economic and financial conditions “will inform the Board’s assessment of the outlook and hence whether the current stance of policy will most effectively foster sustainable growth and inflation consistent with the target.”
On the JPY side of the equation, the yen strength versus the greenback keeps the upside restricted in the AUD/JPY cross with the cross struggling to reach 96 barrier.
AUD/JPY Technical Levels
To the upside, the next resistance is located at 96 levels and above which it could extend gains 96.50 (May 15 High) levels. To the downside immediate support might be located at 95.06 (Today’s Low) below that at 94.57 (May 29 Low).
(Market News Provided by FXstreet)