AUD/JPY retakes 83.00 handles, supported by 4-hour 100-MA

Yen weakness in Asia pushed the AUD/JPY pair to a session high of 83.14 levels amid holiday thinned trade. 

The retreat from the Monday’s session high of 83.85 appears to have run out of steam around the downward sloping 4-hour 100-MA line seen now at 82.93. 

Eyes Australia CPI

The consumer price index (CPI) is seen rising 0.6% q/q in the first quarter. That amounts to an annualised figure of 2.2%, which is significantly higher than the previous quarter’s print of 1.5%. The RBA’s trimmed mean is seen rising 1.8% y/y and 0.5% q/q. 

The Aussie stands to gain if the CPI shows acceleration in the price pressures at a time when the inflation may have peaked across advanced world. 

Meanwhile, the JPY side of the story remains at the mercy of the overall market sentiment and the action in the treasury yields. 

AUD/JPY Technical Levels

The cross was last seen trading around 83.05 levels. A breakdown of support t 82.93 (4-hour 100-MA) would expose 82.37 (4-hr 50-MA) and 82.00 levels. On the higher side, breach of hurdle at 83.26 (Apr 11 high) would expose 83.72 (Apr 10 high) and 84.00 (zero levels).