FxWirePro: AUD/ JPY slips lower on softer-than-expected Australian retail sales data

• AUD/ JPY slipped lower on Thursday as softer-than-expected Australian retail sales data add to negative sentiment for Australian dollar.

• Data from the Australian Bureau of Statistics (ABS) on Thursday showed that retail sales rose 0.8% on a seasonally adjusted basis in November, following a 0.5% increase in October. Expectations were for a 1.0% rise.

• The data is likely to further fuel dovish RBA expectations following Wednesday's benign CPI figures.

•The technical outlook remains bearish and points to eventual bigger drop, fourteen-day momentum is negitive, reinforcing the scope for a bigger drop  

• Immediate resistance is located at 98.38 ( 50% fib), any close above will push the pair towards 99.00 (Psychological level).

• Immediate support is seen at 97.67 (38.2% fib) and break below could take the pair towards 96.78 (23.6% fib).

 Recommendation: Good to sell around 97.90, with stop loss of 98.50 and target price of 97.00