AUD/JPY Surges After Bouncing Back from Intraday Declines | Approaching 97.70 Level

AUD/JPY Surges After Bouncing Back from Intraday Declines | Approaching 97.70 Level

AUD/JPY Reaches Nearly 97.70 After Recovering Intraday Losses

Introduction: AUD/JPY Approaching Key Resistance Level :

The AUD/JPY pair has shown resilience as it rebounds from intraday losses, demonstrating a bullish trend. Let's delve into the factors driving this upward momentum and what traders can expect in the near term.

Factors Behind AUD/JPY's Upsurge:

Amidst the market volatility, the Australian dollar (AUD) has gained ground against the Japanese yen (JPY), fueled by several key factors. 

One significant driver is the improving risk sentiment stemming from hopes of a resolution to the Russia-Ukraine conflict. 

Additionally, Australia's robust economic fundamentals, including strong export performance and rising commodity prices, have bolstered the AUD.

Technical Analysis:

From a technical standpoint, the AUD/JPY pair has surpassed its intraday losses and is now approaching the critical resistance level near 97.70. 

This upward movement suggests a potential breakout if the pair manages to breach this resistance barrier convincingly.

Market Sentiment:

Investor sentiment towards the AUD/JPY pair remains optimistic, with many traders betting on further gains in the near term. 

The positive outlook is supported by a combination of favorable economic indicators and improving risk appetite.

Key Support and Resistance Levels:

In the current scenario, traders should keep a close eye on key support and resistance levels to gauge the future direction of the AUD/JPY pair. 

While the immediate support lies at around 97.00, a decisive break above the 97.70 resistance level could pave the way for a sustained upward trend towards higher targets.

Conclusion:

In summary, the AUD/JPY pair has demonstrated resilience as it rebounds from intraday losses and extends its gains. 

Factors such as improving risk sentiment, strong economic fundamentals, and technical indicators suggest a bullish outlook for the pair in the near term. 

However, traders should remain vigilant and monitor key support and resistance levels for potential trading opportunities.

Content Image Source Courtesy : 

https://www.fxstreet.com