FxWirePro: AUD/JPY extends bounce off 55-EMA support, breaks above 5-DMA

AUD/JPY chart - Trading View 

AUD/JPY was trading 0.31% higher on the day at 76.05 at around 08:30 GMT, scope for further upside.

The pair is extending gains for the 2nd straight session, after prices held support at 55-EMA.

Upbeat data and improving risk sentiment amid positive vaccine news keeps the pair supported.

The preliminary readings of the Australia's Common Wealth Bank’s (CBA) Manufacturing PMI for November stood at 56.1, beating market consensus at 54.2. 

Services PMI also rose past-53.8 expected to 54.9. As a result, Composite PMI crossed 53.5 prior to 54.7 mark. 

Aussie bulls also cheer the re-opening of borders in Australia's two most populous states. Also supporting the mood could be hints of further stimulus from the Japanese Prime Minister (PM) Yoshihide Suga.

Technical analysis support upside in the pair. RSI has turned and is above the 50 mark. GMMA indicator shows minor trend is turning bullish.

Immediate resistance lies at cloud top at 76.21. Decisive break above cloud will buoy prices higher. Next bull target lies at 61.8% Fib at 78.67.

On the flipside, failure to break above cloud and retrace below 55-EMA will negate any bullish bias.