AUD/JPY consolidates in minor recovery, eyes on the Yen and BoJ

Currently, AUD/JPY is trading at 85.60, up 0.06% on the day, having posted a daily high at 85.69 and low at 85.53.

AUD/JPY is in a minor recovery, up from the lows of yesterday's 84.64 and early December support line. 

The yen's incredible ride this year has been recapitulated in recent days, explained analysts at Brown Brothers Harriman, adding, "Consider that before last weekend, the US dollar reached a little above JPY118.40. The BOJ met and left policy on hold, as widely expected.  Since September, it has targeted the 10-year yield at zero, which in practical terms may mean +/- 10 bp.  

The BOJ will provide new forecasts next month, but the Cabinet did so today - It is projecting 1.5% GDP growth in 2017, up from 1.2%   Nominal growth is put at 2.5% compared with 2.2% forecast in September."

US Dollar Index off highs, still headed toward highest close in 14 years

AUD/JPY levels

With spot trading at 85.61, we can see next resistance ahead at 85.68 (Daily Classic R1), 85.69 (Daily High), 85.74 (Yesterday's High), 86.05 (Hourly 200 SMA) and 86.12 (Hourly 100 SMA). Support below can be found at 85.56 (Daily Open), 85.53 (Daily Low), 85.41 (Weekly Classic S1), 85.40 (Hourly 20 EMA) and 85.17 (Daily Classic PP).