FxWirePro: AUD/JPY struggles at 55-EMA resistance, decisive break above required for further upside

AUD/JPY chart - Trading View 

AUD/JPY was trading 0.20% lower on the day at 74.85 at around 06:25 GMT, outlook remains bullish.

The pair has paused 5 straight sessions of gains, finds stiff resistance at 55-EMA. Decisive break above required for upside continuation.

Poor Australia’s September month Trade Balance data dents the AUD. Data released earlier today showed Australia’s Trade surplus shrank more than expected.

Australia’s September month Trade Balance eased to 5.63bn (3.7bn expected) as the big -5.9% drop in Imports supersede +3.9% rise in Exports.

Price action is above 200H MA and intraday technicals are bullishly aligned. MACD is showing a bullish crossover on signal line and 'Bullish RSI Divergence' adds to upside bias.

Support levels - 74.65 (21-EMA), 74.40 (5-DMA)

Resistance levels - 75.09 (55-EMA), 75.61 (110W EMA)

Summary: Risk sentiment to influence price action in the pair. Technical indicators have a bullish bias. breakout at 55-EMA resistance will buoy prices. Scope for test of 76.52 (Oct highs).