AUD/JPY nears 50-DMA as Yen selling gathers pace

Aussie is attempting gains in Asia due to which the AUD/JPY cross is on the front foot and trading near 50-DMA hurdle of 77.62 levels.

Yen playing the spoil sport

Japanese Yen is showing resilience against the American dollar after having shed more than 200 pips post hawkish Yellen comments on Friday. Consequently, the AUD/JPY cross appears to have stalled around 77.50 levels.

Weaker-than-expected Japanese industrial production number failed to have any material impact on the Yen pair. Meanwhile, there is no first tier data scheduled for release in Australia. So the focus remains on RBA's assistant governor Debelle specch.

AUD/JPY Technical Levels

Acceptance above 77.62 (50-DMA) would open doors for 78.00 (zero figure) levels, above which the cross may target 78.09 (61.8% Of Brexit day high/low). On the lower side, break below 0.7728 (Asian session low) could yield test of 77.06 (5-DMA) and 76.76 (10-DMA).