FxWirePro: AUD/JPY retakes 87 handle, 20-DMA is major support, weakness only on break below

• AUD/JPY retakes 87 handle, attempts breach of 5-DMA resistance at 87.06.
   
• The Japanese yen likely to remain supported amid persisting risk-off moods.
   
• The pair is extending recovery from Thursday’s low reached at 86.64. 
   
• RBA Governor Lowe’s said earlier today that he would like AUD level lower, although discarded further rate cuts.
   
• Technical studies are inconclusive. Long-term upward trend still intact, we see no signs of reversal.

Support levels - 86.40 (20-DMA), 85.78 (50-DMA), 85.45 (cloud top)

Resistance levels - 87.20 (5-DMA), 87.53 (Dec 15, 2016 high), 88.18 (Feb 16, 2017 high)

TIME  TREND INDEX  OB/OS INDEX    

1H          Neutral                Neutral       
4H          Neutral                Neutral       
1D          Neutral                Neutral        
1W          Bullish                Neutral   

FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at 66.8388(Bullish), while Hourly JPY Spot Index was at 20.4574 (Neutral) at 0640 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.