USD/JPY Technical Analysis

The US dollar has rallied a bit against the Japanese yen in that same time frame, initially pulling back below the 145 yen level, but now it looks like we’re going to make a serious attempt at threatening the 146 yen level. This is an area where I think if we can clear somewhat cleanly, we could have a nice breakout. It would make a certain amount of sense. The Japanese are having issues with their bond market, as far as not finding enough buyers. So, the Bank of Japan’s probably going now to be somewhat loose with its monetary policy going forward.

AUD/USD Technical Analysis

The Australian dollar fell against the US dollar as it is now threatening the bottom of the overall channel that we have been following for several months now. With that being the case, the 50 day EMA and the 200 day EMA come into the picture as potential support as well. But really at this point, the Australian dollar just doesn’t seem to be able to pick up momentum.

It has been grinding higher for a while now, but it just can’t get above that crucial 0.6550 level. And until that’s the case, it’s a short-term back and forth type of range-bound market more than anything else. If we break down below the moving averages, then we could see a drop to the 0.6350 level.

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