AUD/JPY Price Analysis: Bears keep reins below 92.65 support confluence, RBA eyed

• AUD/JPY holds lower grounds at three-week bottom after breaking 100-DMA, ascending support line from late January.
• Bearish MACD signals, downbeat RSI adds strength to the downside bias.
• 50-DMA adds to the upside filters before directing bulls to key horizontal resistance from April.
• RBA is likely to announce 0.50% rate hike, the fourth consecutive rate increase.

AUD/JPY licks its wounds at the lowest levels in three weeks as traders await the Reserve Bank of Australia’s (RBA) Interest Rate Decision during Tuesday’s Asian session. That said, the quote broke the key 92.65 support confluence on Monday, taking rounds to 92.50-55 of late.

In addition to the clear downside break of the 100-DMA and an upward sloping trend line from early January, the bearish MACD signals and the downbeat RSI (14) also keep AUD/JPY sellers hopeful.

That said, a horizontal area comprising multiple levels marked since mid-May, between 91.15 and 91.45, appears to lure the short-term bears.

However, the quote’s weakness past 91.15 could make it vulnerable to drop towards the 38.2% and 50% Fibonacci retracements of January-June upside, respectively near 90.55 and 88.60.

Alternatively, recovery moves need to stay beyond the support-turned-resistance level surrounding 92.65 to aim for the 50-DMA hurdle surrounding 93.65.

Following that, a horizontal line from April 20, close to 95.70-75, will be in focus.

Overall, AUD/JPY is on the bear’s table even as the RBA is likely to announce the fourth consecutive rate hike.

Also read: AUD/USD bulls take a breather below 0.7050 ahead of RBA Interest Rate Decision

AUD/JPY: Daily chart

Trend: Further weakness expected