AUD/JPY: Buyers emerge off lows, Nippon news to stimulate bids?

By FXStreet FXStreet (Bali) – AUD/JPY is last seen at 87.60, with news of Japanese Nippon set to buy over 80% stake on NAB’s life insurance business, so far not stimulating buyers.

M&A news to have an impact on AUD/JPY?

NAB has been placed in a trading halt, most likely until tomorrow, as Nippon Life finalizes a formal offer to buy over 80% of NAB’s life insurance business for 220 billion yen. Psychologically, this type of M&A may have a positive effect on AUD/JPY. However, since this news has been floating around Tokyo for the last couple of weeks, one may assume the surprising factor, and thus the impact on AUD/JPY, may be minimal.

AUD/JPY key levels

Today’s pivot level can be found overhead at 87.75, with immediate support now located at 87.50 (daily S1) followed by 87.25 (DailyS2 + Weekly Pivot) ahead of 87.00 (round number + Monthly R1 + Daily S3). On the upside, 88.00 (round number + Daily R1) is key resistance, ahead of 88.50 (Daily R3 + mid round number + Weekly R1), with 88.63 today’s ATR 14 limit up.
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Source:: FX Street