AUD/JPY is the main mover on the day
With the yen being the strongest currency and the aussie being the weakest. Other major currencies have traded in relatively subdued ranges for the most part thus far.
The yen is once again facing a battle around the 110.00 figure level and with large expiries due to roll off later in the day at said level, expect price action to be centred around this region - particularly since USD/JPY is unable to break above the 200-day MA.
As for AUD/JPY, it tends to act as a key risk barometer in the currencies space but the selling today appears more technical than anything else. Equities are faring well as we get the day going, but the pair is down by 0.4% currently.
The high today reached 84.54, which tested the March high of 84.53 before backing off. There is a double-top pattern formed now in the pair if the decline today holds below the March high.
A move back towards the 100-day MA (red line) @ 83.57 looks to be on the cards if sellers hold firm, and the trade would be to go with a break below that to retest the May lows near 81.00 again.
But watch out for the fundamental backdrop too, if equities continue to outperform and bond yields continue to rise, it'll be tough to justify further selling in the pair. And a firm daily close above the March high would provide a trade opportunity back to the upside instead - towards the 200-day MA (blue line) @ 85.44.
