AUD/JPY Outlook: Bulls Stay Strong Near 97.50 as Yen Gets Support
The AUD/JPY pair slipped a little to around 97.45 in Thursday’s European session. Still, the bigger picture remains positive because the price is holding above the 100-day EMA. The momentum is also in favor of buyers as the RSI stays above 64, which means bullish strength is not gone yet.
If buyers push higher, the next resistance is around 97.75. A break above this could take the pair towards 98.45, a level last seen in January. If the rally continues, the 99.00 mark could also come into play. On the flip side, if the pair falls below 96.82, it may slide down to 95.86 or even 95.52, which is close to the 100-day EMA.
The Japanese Yen is getting support from stronger economic data. The latest Reuters Tankan survey and GDP numbers came out better than expected. Because of this, traders believe the Bank of Japan (BoJ) might raise interest rates before the year ends. Such a move usually makes the Yen stronger and can put pressure on the Australian Dollar.
Impact:
AUD/JPY could move up towards 97.75–98.45 if bullish strength continues. But if it breaks below 96.82, the pair might head lower toward the 95.86–95.52 zone
