- Australian Dollar traded higher against the Japanese yen, and currently testing a major resistance area.
- There is an expanding triangle pattern forming on the hourly chart of the AUDJPY pair, which is acting as a resistance in the short term.
- Australian Consumer Inflation Expectation released by the Melbourne Institute registered a rise of 3.4% in March 2016, less than the last reading of 3.6%.
- Chinese Consumer Price Index released by the National Bureau of Statistics of China posted a gain of 1.6%, which was above the forecast.
The Australian dollar climbed against the Japanese yen, and traded above the 84.60 resistance area. There is an expanding triangle pattern forming on the hourly chart of the AUDJPY pair, which may act as a catalyst for the next move.
The pair is about to test the triangle resistance area, and it looks like it may even break it. The pair is above the 50 and 100 hourly simple moving average, which is a positive sign.
On the upside, a break above the triangle resistance could take the pair towards the 85.50 levels.
Australian Consumer Inflation Expectation
Today, the Australian Consumer Inflation Expectation, which presents the consumer expectations of future inflation during the next 12 months was released by the Melbourne Institute. The outcome was lower compared with the last rise of 3.6%, and came in at 3.4% in March 2016.
The report stated that the “expected inflation rate (30-per-cent trimmed mean measure), reported in the Melbourne Institute Survey of Consumer Inflationary Expectations, fell by 0.2 percentage points to 3.4 per cent in March from 3.6 per cent in February”.
Overall, there was hardly anything for the bulls, but as long as the AUDJPY pair is above the 100 hourly simple moving average, more gains are possible.