FxWirePro: AUD/JPY consolidates below daily cloud, resumption of weakness eyes 200-DMA at 72.85
AUD/JPY chart - Trading View
AUD/JPY was trading 0.35% higher at 74.39 at around 11:00 GMT after closing 0.13% lower in the previous session.
The pair is consolidating break below daily cloud and near-term outlook for the pair remains bearish.
Uptick in the price is on account of fresh bids seen in the Aussie after Westpac, Australia's major bank pushes back RBA rate cut forecast to November from October.
Westpac now expects the Reserve Bank of Australia (RBA) to cut the benchmark interest rate to a new record low of 0.1% from the current 0.25% in November.
Recovery attempts find stiff resistance at cloud base and 110-EMA. Dip below cloud has opened downside for the pair.
200-DMA is major support at 72.857. Breach below 200-DMA will drag prices lower.
Support levels - 73.93 (lower BB), 72.85 (200-DMA)
Resistance levels - 74.65 (110-EMA), 75.69 (55-EMA)