The USD/JPY began today's Asian session higher than yesterday's 96.90 low. The pair reached a high of 97.57 today fueled by a recent statement by Bank of Japan Governor Haruhiko Kuroda that he would adjust policy if the economy is negatively affected by the sales tax hike or the improvement in foreign economies.
Despite this statement, however, the pair has been unable to maintain the uptrend as it fell quickly to the 97.16 territory.
The USD/JPY pair is now trading at 97.15, with initial resistance at 97.57, followed by 97.82. Meanwhile, initial support is at 96.60, followed by 96.36.
As for the AUD/NZD, the pair fell below 1.1370 early in today's trading, but has since managed to break beyond 1.1385. A pair of news caused volatility in the AUD/NZD as New Zealand had the lower-than-expected YoY visitor arrivals (5.9% versus 6.0%), while the Australia had a lower MoM Westpac Leading Index, which fell from the previous 0.2% to 0.0%.
The AUD/NZD pair is currently trading at 1.1386 with initial resistance seen at 1.1433, followed by 1.1462. Meanwhile, initial support is at 1.1327, followed by 1.1299.
The AUD/USD has dropped below 0.9040 in today's session after the release of the Westpac Leading Index. However, analysts expect more effect to come from the FOMC minutes that will come out later today (6:00pm GMT) and the Jackson Hole Symposium that will start tomorrow, Thursday.
The AUD/USD pair is currently trading at 0.9030, with initial resistance seen at 0.9104, followed by 0.9127. Meanwhile, initial support is at 0.8994, followed by 0.8972.
FOMC Minutes Later Today
Analysts expect to get more talk on the Fed's planned QE tapering when the FOMC minutes are released later today. Tapering is expected to start next month during the FOMC meeting which will be held on 17-18 September. As usual, expect a lot of volatility around the time of the release of the FOMC minutes.
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