Forex Market: AUD/JPY daily trading forecast

Friday’s trade saw AUD/JPY within the range of 93.38-94.75. The pair closed at 93.50, losing 1.29% on a daily basis.

At 7:26 GMT today AUD/JPY was up 0.11% for the day to trade at 93.61. The pair touched a daily high at 93.70 at 6:05 GMT.

Fundamental view

Chinese trade data

The Aussie received support, following the release of Chinese trade data earlier in the day. China’s exports climbed at an annualized rate of 15.3% in September, or the fastest pace since February 2013, and also outstripped the median forecast by experts for an 11.8% gain. Total imports rose at a pace of 7% in September compared to the same month a year ago, beating expectations pointing to a 2.7% increase. Imports of iron ore registered the second highest level this year, while monthly crude oil imports expanded to their second highest level on record. At the same time, nation’s balance of trade produced a surplus at the amount of 31.00 billion USD in September, or below expectations of a surplus figure of 41.10 billion USD. This data usually has an impact on the Australian dollar, as China is Australia’s largest trading partner.

Yen bets

Hedge funds and other institutional speculators pared their bearish bets on the Japanese yen for the first time in three weeks, Bloomberg reported. Net short positions were reduced to 112 551 on October 7th from an eight-month high of 120 878 in the preceding week, according to data by the Washington-based Commodity Futures Trading Commission.

Technical view

According to Binary Tribune’s daily analysis, the central pivot point for the pair is at 93.88. In case AUD/JPY manages to breach the first resistance level at 94.37, it will probably continue up to test 95.25. In case the second key resistance is broken, the pair will probably attempt to advance to 95.74.

If AUD/JPY manages to breach the first key support at 93.00, it will probably continue to slide and test 92.51. With this second key support broken, the movement to the downside will probably continue to 91.63.

The mid-Pivot levels for today are as follows: M1 – 92.07, M2 – 92.76, M3 – 93.44, M4 – 94.13, M5 – 94.81, M6 – 95.50.

In weekly terms, the central pivot point is at 94.25. The three key resistance levels are as follows: R1 – 95.13, R2 – 96.75, R3 – 97.63. The three key support levels are: S1 – 92.63, S2 – 91.75, S3 – 90.13.