The AUD/JPY cross is climbing above 113.00 in early European trading Monday, with the pair trading around 113.05 as the Australian Dollar gains strength against the Japanese Yen. The upward momentum is being driven by a hawkish policy stance from the Reserve Bank of Australia, which is providing sustained support for the Aussie. The cross has pushed above its 100-day simple moving average, signaling technical strength and potential continuation of the bullish trend.
Traders with exposure to Asia-Pacific currencies should note the RBA’s firmer monetary policy position is creating a favorable yield differential that’s attracting flows into AUD. The break above the key 113.00 psychological level, combined with the move above the 100-day SMA, suggests institutional buying interest. The technical setup indicates momentum remains with buyers as we enter the new trading week.
FXnCO Insight
Long AUD/JPY positions above 113.00 look technically supported with the 100-day SMA now acting as dynamic support for further upside potential.
Source: FXStreet