AUD/JPY sold-off into risk-off, looks to attack 80

By FXStreet The AUD/JPY pair dives deeper in the red heading into the late-Asian trades, and now looks to test 80 handle amid risk-off as the sell-off in the Asian equities intensifies.

AUD/JPY trades below all major DMAs

Currently, the AUD/JPY pair trades -0.76% at 80.16, hovering close to fresh session lows struck at 80.10. A renewed bout of risk-aversion appears to grip the Asian markets, bolstering the JPY bulls and thereby, weighing heavily on AUD/JPY.

The yen rose to fresh weekly highs versus its American counterpart, knocking-off USD/JPY to 111.70 levels. While the Japanese benchmark index, the Nikkei sinks -1.22% as risk-off sentiment persists at full steam. Further, the ongoing weakness in the AUD/USD pair on falling oil, also collaborates to the downside in the cross.

Markets now eagerly await the Aus Capex data due for release tomorrow for fresh direction on the Aussie, while today’s US calendar remains fairly light with the new home sales and services PMI on the cards.

AUD/JPY Technical Levels

To the upside, the next resistance is located at 80.97/81.04 (1h 100 & 200-SMA) and above which it could extend gains to 81.39/50 (daily R1). To the downside immediate support might be located 80 (round number) below that at 79.29 (Feb …read more

Source:: FX Street