FxWirePro: AUD/JPY hits multi-month highs, eyes 200W MA as Aussie buoyed on US stimulus

AUD/JPY chart - Trading View 

AUD/JPY grinds higher as the Australian dollar remains buoyed after reports that President Trump signed the much awaited coronavirus relief bill.

The pair was trading 0.12% higher on the day at 78.81 at around 04:40 GMT, slightly lower from multi-month highs at 78.88 hit earlier today.

The pair hit levels unseen since April 2019 and is on track to test major resistance at 200W MA at 79.11.

President Trump signed a $2.3 trillion package, combining Covid-19 relief with government funding, authorizing $600 in direct payments to Americans. 

Risk-on pushing the pair to test new highs. Technical indicators also support gains in the pair. Scope for further upside.

200W MA is major resistance at 79.11. Decisive break above will propel the pair higher. Next major bull target lies at 80.71 (2019 high) ahead of 83.79 (78.6% Fib).

Rejection and 200W MA and retrace below 21-EMA will see continued weakness till 110-EMA. Bullish invalidation likely below 200-DMA.