Originally published by AxiTrader
AUD/NZD had a strong bounce off the key support level at 1.0820 and has seen a decent rally since then. The clear break back above 1.09 confirms that this was only a temporary pullback and that the uptrend remains intact. Should AUD/NZD overcome the hurdle at 1.10 as well, a rally back towards 1.12 seems quite likely.
USD/JPY is struggling with an area of heavy resistance. There is the falling trendline from last week´s high, as well as the zone between 112.45 and 112.60, which proved as tough resistance before. USD/JPY will need a clear break above 112.60 to attract further momentum buying. Meanwhile, a clear break below 111.50 would pave the way for a larger correction. However, given the resilience of USD/JPY in the recent days, an upside breakout seems more likely.
