The Australian manufacturing sector slumped into a recession as confirmed by two PMI reports released during the Asian trading session. Building approvals plunged and company profits for the third quarter decreased. The AUDJPY pushed higher, but global trade uncertainty continues to be elevated. How much farther can bulls push this currency pair higher before bears step in? Subscribe to the PaxForex Daily Fundamental Analysis and grow your balance trade-by-trade.

Japanese company profits for the third quarter dropped, but forex traders focused on better-than-expected capital spending excluding software. The Japanese Yen, a safe-have currency, came under mild selling pressure following better-than-expected manufacturing data out of China. Will bears force the AUDJPY into a retreat or can bulls keep the advance alive? Today’s fundamental analysis will take a look at the upside potential as well as the downside risk in this currency pair.