AUD/JPY moves up to 84.53, its highest level since 25 February
The pair is resuming its uptrend this week amid the better risk mood as the yen holds weaker on the day and the aussie keeping more upbeat.
The high on 25 February hit 84.95 before retreating but the key resistance region limiting the topside move is seen more clearly on the weekly chart (↑).
The resistance region around 83.93-53 presents a key area where buyers must break above to extend the upside momentum so watch for that ahead of the close tomorrow.
Holding a break above 84.95-00 will bode even better for buyers if they can achieve that.
The pair is trading based on some kind of convoluted fundamental basis at the moment, whereby lower yields (or at least lesser bond market volatility) is better in the sense that it feeds into more upbeat risk sentiment across the broader market.
Considering that AUD/JPY is a key risk barometer, that is ultimately the key driver of the pair's direction at this point in time.
10-year Treasury yields are seen lower again today and moving towards 1.50%, so that is keeping risk sentiment in a better spot to start European trading at least.
