AUD/JPY analysis for March 29, 2021
Looking at the chart on the four-hour timeframe, we see that the AUD/JPY pair found good support on the moving averages MA200 and EMA200 and that the AUD/JPY pair have now climbed above MA20, EMA20, and MA50, again catching another potential bullish momentum, looking at higher levels on the chart. We look at 85.00 again. For the bearish scenario, we need a stronger break bellowMA200 and EMA200.
On the daily time frame, we see the movement within the growing channel with a certain pullback within it, and the AUD/JPY pair is now testing the moving averages of the MA20 and EMA200. If we see a break above then, we could expect the bullish trend to continue, while the descent below them pushes us down to the MA50 to the 82.00-82.50 zone around the lower support line.
On the weekly time frame, we see how the AUD/JPY pair slows down from 85.40, making a pullback. Last week was turbulent for the AUD/JPY pair, but the range from opening and closing in the short-range was 84.20-83.80. The trend is still very bullish in general, and if we look at moving averages, we will see that they are still on the bullish side and are good support for the AUD/JPY pair on the chart.
From the news for the AUD/JPY currency pair, we single out the following:
Consumer prices in Tokyo fell slower in March. Data published by the Ministry of Internal Affairs and Communications showed on Friday. The basic consumer price index, excluding food, fell 0.1 percent year-on-year in March. The annual rate is forecast to fall 0.2 percent after easing 0.3 percent in February.
Basic prices have been falling since August 2020.
Excluding food and energy, Tokyo’s inflation rose to 0.3 percent from 0.2 percent in the previous month. This was the highest rate since July 2020. The total consumer price index in Tokyo fell 0.2 percent a year, after falling 0.3 percent in February.
Reuters reported that the Bank of Japan could increase transparency and stabilize markets by clarifying the extent to which it allows long-term interest rates to hover around the target of 0%, according to several views expressed by board members at the March meeting. “BOJ must respond rigidly to protect the upper limit of range” with its newly introduced market work, said one of the nine board members, according to a summary of the opinion published on Monday.
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