- Fear of Bank of Japan intervention saw the pair clock a high of 76.14 in early Asia as Yen edged lower from highs.
- However, post-Brexit risk aversion continued in Asia, Yen demand made a comeback, AUD/JPY rejected at highs by 76.14, slips below the 76 handle.
- Aussie weakness seen across the board following poor Chinese data and a major Yuan devaluation.
- PBOC set today's USD/CNY at 6.6375 vs 6.5776, USD/CNY hits its highest level since Jan 2011.
- A weaker Chinese industrial profits print released earlier on the day also weighed heavily on the sentiment surrounding the commodity currencies.
- AUD/JPY is currently trading around 75.30, finds major trednline support at 75 levels, break below could see weakness upto 72.45.
- Intraday bias is lower, momentum studies are bearish. Break below 75 will see downside upto 74 levels.
Recommendation: Good to go short rallies around 75.50/60, SL: 76.20, TP: 75/ 74.50/ 74
The material has been provided by InstaForex Company – www.instaforex.com