AUD/JPY fades a spike above 86.00, Despite a big beat on Aus trade
The AUD bulls received fresh impetus from solid Australian trade balance data, driving the AUD/JPY cross back above 86 handle. However, sellers continue to lurk near the last, sending the rate back to the familiar region near 85.90 levels.
AUD/JPY tested daily pivot at 86.08 on Aus data
The cross extends its minor-recovery mode following the release of a bigger-than expected jump in the Australian trade surplus, mainly driven by a sharp rebound in exports. Australia's May trade balance: A big beat on expectations, solid rebound in exports
The spot, however, failed to survive above 86 handle amid persisting risk-off market profile, as the geo-political tensions surrounding North Korea escalate and keep the demand for the safe-haven yen underpinned.
Focus now shifts towards the US trade figures, ADP jobs and ISM services data for fresh moves on the USD, eventually impacting both the core pairs.
Higher side: 86.08/09 (daily pivot & high), 86.26 (psychological levels), 86.50 (psychological levels)
Lower side: 85.58/50 (classic S1), 85.09 (20-DMA), 84.74 (200-DMA)