USD/JPY Technical Analysis

The US dollar has rallied nicely against the Japanese yen, and that’s probably not a huge surprise. Every time it falls, it rallies against the yen due to the interest rate differential. That interest rate differential is still a very real thing. And therefore, I think traders will continue to look at dips as potential buying opportunities. If we can break above the 149 yen level, then it opens up the door to the 151 yen level.

AUD/USD Technical Analysis

The Australian dollar has risen against the US dollar a little bit in the early hours here on Wednesday, but it must be said that it is giving back some of those gains. I find that interesting because it looks like we’re going to do everything we can to fall back towards the 0.6550 level, an area that I have talked about ad nauseum for several months now as a magnet for price.

It also features 50-day EMA, so I guess that makes some sense as well. If we do rally from here and it actually sticks, unlike the last couple of days, then we could go looking to the 0.67 level, but let us not forget that the Australian dollar was a major underperformer for months against the greenback.

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