- AUD/JPY is extending a break above 100-DMA at 83.58, bias higher.
- Aussie spikes across the board after the Australian Bureau of Statistics (ABS) reported a better-than-expected Australia first quarter GDP reading.
- The economy expanded 1% q/q in Q1, slightly above the estimate of 0.9 percent, but well above the previous quarter's growth rate of 0.4 percent.
- Technical analysis for the pair supports a bullish bias. Scope for test of 200-DMA at 85.42.
- Price has broken above daily cloud after bouncing off major trendline support at 81 levels.
- Stochs and RSI biased higher and MACD shows a bullish crossover on signal line.
- Downside is holding support at 100-DMA at 83.58. Break below could see drag till daily cloud.
Support levels - 83.78 (50% Fib), 83.58 (100-DMA), 83.38 (5-DMA)
Resistance levels - 84.48 (May 22 high), 84.79 (50% Fib), 85, 85.42 (200-DMA)
Call update: Our previous call (https://www.econotimes.com/FxWirePro-AUD-JPY-Trade-Idea-1346601) has hit TP1.
Recommendation: Book partial profits at highs. Trail SL to 83.35. Hold for further upside.
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