Source: PaxForex Premium Analytics Portal, Fundamental Insight
The Australian Westpac Leading Index for May decreased by 0.1% monthly. Forex traders can compare this to the Australian Westpac Leading Index for April, which increased by 0.2%.
Japanese Machine Orders for April increased 0.6% monthly and 6.5% annualized. Economists predicted an increase of 2.7% and 8.0%. Forex traders can compare this to Japanese Machine Orders for March, which increased 3.7% monthly and decreased 2.0% annualized.
The Japanese Trade Balance for May was reported at -¥187.1B. Economists predicted a figure of -¥91.2B. Forex traders can compare this to the Japanese Trade Balance for April, reported at ¥253.1B. The Japanese Adjusted Trade Balance for May was reported at ¥0.04T. Forex traders can compare this to the Japanese Adjusted Trade Balance for April, reported at ¥0.08T. Exports for May increased 49.6% annualized, and Imports increased 27.9% annualized. Economists predicted an increase of 51.3% and 26.6%. Forex traders can compare this to Exports for April, which decreased 38.0% annualized, and to Imports which increased 12.8% annualized.
The forecast for the AUD/JPY turned bearish after this currency pair failed to push through its horizontal resistance area. Adding to downside pressures are the descending Tenkan-sen and the descending Kijun-sen, while the Ichimoku Kinko Hyo Cloud forms a top. The CCI continues to decelerate, and traders should expect it to crash into extreme oversold territory and resume its downtrend. Can bears awaken and pressure the AUD/JPY into its next horizontal support area? Subscribe to the PaxForex Daily Fundamental Analysis and earn over 5,000 pips per month.
Should price action for the AUD/JPY remain inside the or breakdown below the 84.350 to 85.050 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 84.700
- Take Profit Zone: 82.250 – 82.700
- Stop Loss Level: 85.450
Should price action for the AUD/JPY breakout above 85.050, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 85.450
- Take Profit Zone: 86.300 – 86.700
- Stop Loss Level: 85.050
Open your PaxForex Trading Account now and add this currency pair to your forex portfolio.
