MUFG recommends promoting AUD/JPY in a brand new commerce this week and likewise re-emphasizes its name for purchasing EUR/GBP.
In AUD/JPY, they advocate promoting at spot at 89.50 with a goal of 84.50 and a cease at 92.50.
“We’re recommending a brand new quick AUD/JPY commerce concept to mirror our view that the curret interval of danger aversion is more likely to prolong additional within the near-term,” MUFG notes.
“We imagine there’s room for the JPY to proceed to rebound in gentle of quick positioning and stretched valuations. The AUD alongside different commodity currencies are coming beneath extra promoting stress as world development fears intensify,” they wrote.
In addition they keep an extended EUR/GBP commerce with a goal at 0.8800 and a cease at 0.8440. Spot is at 0.8500.