Australian Dollar rises broadly today as markets pare back bet on RBA rate cut in February, following better than expected job data. Though, upside is limited by risk aversion while Aussie is just following Yen as the second strongest. Asian stocks trade generally, deeply lower, after China halted travel from Wuhan city, the center of outbreak of the new coronavirus. Canadian Dollar is currently the weakest one. Selloff in the Loonie started overnight after dovish BoC, and extends on free fall in oil prices.

Technically, USD/JPY’s break of 109.76 support should now confirm short term topping at 110.28. Deeper pull back should be seen to 55 day EMA (now at 109.14) and below. AUD/USD formed a temporary low at 0.6826 after drawing support from near term channel. But further decline is still expected as long as 0.6933 resistance holds. USD/CAD is moving away from 55 day EMA and should be targeting 1.3327 resistance. We’re favoring the case that medium term correction from 1.3664 (2018 high) has completed as a triangle at 1.2951. Break of 1.3327 should confirm our view.

source_https://www.actionforex.com/