AUD/JPY peeps above the weekly 200-MA

AUD/JPY is on the rise this Monday morning in Asia, eyeing a convincing break above the weekly 200-MA level of 88.38.

The cross is primarily being lifted by the uptick in the USD/JPY pair. Meanwhile, the rise in the Australia consumer inflation expectations is keeping the AUD well bid as well.

Risk-on ahead?

At press time, AUD/JPY cross is trading 0.27% higher on the day. The uptick in the AUD/JPY, a global risk barometer, is usually an advance indicator of the risk-on action in the global markets.

S&P 500 futures are up 0.13% and DAX futures are up 0.21%. FTSE futures are trading flat lined. AUD/JPY and stocks could rally further if the uneasy status quo prevails in the Korean Peninsula.

AUD/JPY Technical Levels

The cross clocked a session high of 88.42. A break above 89.00 [zero levels] would open doors for 89.42 [July high] and 89.68 [previous day's high]. On the lower side, breakdown of support at 87.92 [Friday's low] could yield a sell-off to 87.68 [50-DMA] and 87.30 [61.8% Fib R of Aug 11 low - Sep 21 high].