Source: PaxForex Premium Analytics Portal, Fundamental Insight
Australian NAB Business Confidence for the fourth quarter came in at -1. Forex traders can compare this to Australian NAB Business Confidence for the third quarter, reported at -4.
Total Australian Reserve Assets for September came in at A$93,200M. Forex traders can compare this to Total Australian Reserve Assets for August, reported at A$93,900M.
The Australian Employment Change for September came in at 6.7K, and the Unemployment Rate at 3.6%. Economists predicted a figure of 20.0K and 3.7%. Forex traders can compare this to the Australian Employment Change for August, reported at 63.3K, and the Unemployment Rate reported at 3.7%. 39.9K Full-Time Positions were lost, and 46.5K Part-Time Positions were created in September. Forex traders can compare this to the creation of 7.2K Full-Time Positions and 56.0K Part-Time Positions, reported in August. The Labor Force Participation Rate for September came in at 66.7%. Economists predicted a reading of 67.0%. Forex traders can compare this to the Labor Force Participation Rate for August, reported at 67.0%.
The Chinese House Price Index for September decreased by 0.1% annualized. Forex traders can compare this to the Chinese House Price Index for August, which contracted 0.1% annualized.
The Japanese Trade Balance for September came in at ¥62.4B, and the Japanese Adjusted Trade Balance at -¥0.43T. Economists predicted a reading of -¥425.0B and -¥0.50T. Forex traders can compare this to the Japanese Trade Balance for August, reported at -¥937.8B, and the Japanese Adjusted Trade Balance at -¥0.55T. Exports for September rose by 4.3% annualized, and Imports plunged by 16.3% annualized. Economists predicted a rise of 3.1% and a contraction of 12.9%. Forex traders can compare this to Exports for August, which decreased by 0.8% annualized, and Imports, which collapsed by 17.7% annualized.
Foreign Buying of Japanese Bonds for the period ending October 14th came in at ¥794.0B and Foreigners Buying of Japanese Stocks at ¥1,259.9B. Forex traders can compare this to Foreign Buying of Japanese Bonds for the period ending October 7th, reported at ¥185.4B, and to Foreigners Buying of Japanese Stocks at ¥1,437.5B.
The forecast for the AUD/JPY remains bearish after this currency pair struggles at its horizontal resistance area. The Kijun-sen, the Tenkan-sen, and the Ichimoku Kinko Hyo Cloud all flatlined, confirming the lack of momentum and suggesting a struggle between bulls and bears. Traders should also monitor the CCI after bouncing off extreme oversold territory and pushing above zero. This technical indicator could lose momentum, and a reversal below zero could trigger a sell-off. Can bears overpower bulls and regain control over the AUD/JPY to force price action into its 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 95.100 to 95.800 zone, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 95.500
- Take Profit Zone: 91.850 – 92.750
- Stop Loss Level: 96.100
Should price action for the AUD/JPY breakout above 95.800, PaxForex recommends the following trade set-up:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 96.100
- Take Profit Zone: 96.900 – 97.500
- Stop Loss Level: 95.800
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