- Australian Dollar weakened today against the Japanese Yen, and looks set for more losses.
- There are a couple of bearish trend lines formed on the hourly chart of the AUDJPY pair, which are acting as a hurdle.
- Today, the Japanese Eco Watchers Survey Current index released by the Cabinet Office posted a decline from the last reading of 48.7 to 46.6 in Jan 2016.
- Moreover, the Eco Watchers Survey Outlook index increased from 48.2 to 49.5 in Jan 2016.
The Australian Dollar traded down against the Japanese yen and currently testing the 82.60 support area, which remains at a risk of a breakdown. There are a couple of bearish trend lines formed on the hourly chart of the AUDJPY pair, acting as a barrier for an upside move.
Sellers remain in control and selling seems to be a preferred option. A break of the recent low of 82.60 or a minor correction might trigger a sell trade in AUDJPY in the near term.
The next support area on the downside is around the 82.20-10 levels.
Japanese Eco Watchers Survey
Today, there were a couple of low risk events lined up in Japan, which impacted the market sentiment. The Eco Watchers Survey, which is closely watches region-by-region economic trends was released by the Cabinet Office. The current index posted a decline from the last reading of 48.7 to 46.6 in Jan 2016, and the outlook index increased from 48.2 to 49.5.
Overall, the Japanese Yen is trading with a positive tone today, and if the trend continues, then the yen may gain against the Australian Dollar.
In short, a break below the recent low of 82.60 in the AUDJPY pair may call for more losses in the short term.