The yen dominated the forex since the year stands tall across the board. The cross AUDJPY fell from 87.75 January 2016 high’s dip to 77.50 in February. Since then the cross has been trading in a tight range between February lows and March highs seems at 86.64 levels.
On different time frames from daily to monthly, the cross remains below all the moving averages. As of now in May, the cross manages o hold the April low finds at 80.60 rounded yesterday’s low finds at 80.61 levels.
If the cross slips below April lows downward retracement towards 80.20, 79.75March low, 79.50 and 79.15 is an initial destination of the cross.
On the weekly closing basis, we can observe support base finds at 79.75 levels though weekly swing (February low) lower finds at 79.50.
Ahead of the today’s RBA rate outcome, the AUS is trading at 81.45 on a bearish bias after a sharp yesterday’s reversal.
In case, if the RBA cuts the interest rate the cross likely to dip to 81.00, 80.50 and 80.20 levels in the extreme case 79.75 expected. Alternatively, 82.00, 82.40 initially later 83.00 and 83.50 in the extreme case expected.
Trading support finds at 81.10, 80.80 and 80.20 and resistance seems at 82.00 and 82.40 levels.