Japanese Yen Retreats: Analysis For USD/JPY, EUR/USD, AUD/USD, NZD/USD

USD/JPY Tests New Highs As Traders React To Japan’s PMI Reports

USD/JPY gains ground as traders focus on PMI reports from Japan. Manufacturing PMI declined from 49.8 in August to 49.6 in September, compared to analyst forecast of 49.9. Numbers below 50 show contraction. Services PMI increased from 53.7 to 53.9, compared to analyst consensus of 53.8.

USD/JPY continues its attempts to move out of the downward channel. In case USD/JPY manages to stay above the 144.00 level, it will gain additional upside momentum and move towards the nearest resistance level, which is located in the 146.00 – 146.50 range.

EUR/USD Is Moving Higher Ahead Of Ifo Business Climate Report

EUR/USD gains some ground as traders prepare for the release of the Ifo Business Climate report from Germany. The report is expected to show that Business Climate declined from 86.6 in August to 86 in September.

Currently, EUR/USD is trying to settle back above the support at 1.1115 – 1.1130. In case this attempt is successful, EUR/USD will move towards the resistance at 1.1185 – 1.1200. RSI is in the moderate territory, so there is plenty of room to gain momentum in case the right catalysts emerge.

AUD/USD Pulls Back From Session Highs As Traders React To RBA Decision

AUD/USD tested new highs as traders reacted to RBA Interest Rate Decision. The central bank left the interest rate unchanged at 4.35%, in line with analyst consensus. The hawkish rhetoric of the RBA provided additional support to the Australian dollar. However, it looks that some traders decided to “sell the news” and took some profits off the table near multi-month highs.

In case AUD/USD pulls back below the support at 0.6815 – 0.6825, it will head towards the next support level, which is located in the 0.6735 – 0.6750 range.

NZD/USD Failed To Settle Above 0.6280

NZD/USD has also moved away from session highs as traders reacted to the dynamics of AUD/USD.

From the technical point of view, NZD/USD needs to stay above the 0.6250 level to have a chance to gain additional upside momentum in the near term.

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