AUD/JPY: looking for a close above 100 4hr sma

By FXStreet FXStreet (Guatemala) – AUD/JPY rallied through the 100 4hr sma and is closing with a positive tone as we head towards next week’s BoJ while markets are getting serious about the possibility of the authorities providing further stimulus for the economy.

This coupled with a better risk mood throughout markets propelled the price off the lows of 79.20 and above the week’s previous highs as investors look for a return on idle capital. Also, Australia will report CPI Q4 and analysts at TD Securities explained that they expect annual inflation to end 2015 at 1.7%/yr, and for calendar 2015 CPI to be +1.5%/yr.

AUD/JPY levels

Technically, AUD/JPY burst through the 200 1hr sma at 81.46 and is consolidating above the 100 sma on the 4hr now as we head towards the close for the week with RSI on the same time frame moving in on the 70 mark but allows for further upside with a target of R1 83.33, R2 at 84.27 and R3 at 85.89. 81.50, where the 20 and 50 sma converge should a strong level support on a reversal.
For more information, read our latest forex news. …read more

Source:: FX Street