Yesterday we had a shakeup in the forex market after the US economic data was released. The Dollar declined against most currencies, then it rebounded and then the major forex pairs split. The commodity block and the Yen made advances and closed the day about 50 pips higher while the Euro and the Pound closed the day with minimal losses.

Support and resistance levels have been breached in some forex majors while the support and resistance levels in other pairs remain intact. So let´s have a quick look this morning at these levels in AUD/USD and USD/JPY.

AUD/USD – This forex pair moved higher yesterday, breaking above several moving averages (MAs) on the hourly forex chart. These moving averages have turned into support now. So, the support levels come at 0.75 (100 SMA), 0.7480 (50 SMA) and 0.7440-50 which is the low so far this week. The resistance levels come at 0.7525 which is today´s high, 0.7540 (100 smooth MA) and 0.7565 (200 SMA).

USD/JPY – This forex pair also made some substantial move yesterday. After surging about 200 pips in the previous two days after the BOJ rumours, yesterday this forex pair dived again and almost gave back all gains. The support levels in this forex pair come at 101.70-80 which has held up pretty well overnight, 101.40-50 and 101. The 100 and 99 levels are always there for us if the price moves that far below.

The resistance levels come at 102.20-40 where all the important moving averages are located in the hourly forex chart 102.70 which was the high yesterday and 103.30-40 which has been the high so far this week. So, use these levels to define risk/reward and trade wisely folks.