U.S. Markets open in 8 hrs 41 mins

Confidence Deteriorating as AUD/USD, AUD/JPY and USD/JPY Test Support

Christopher Vecchio

Talking Points:

- AUDUSD and AUDJPY start to break through consolidation support.

- USDJPY still at risk for decline into ¥101.50.

- Emerging market currencies back under pressure.

To keep up with the emerging market turmoil, be sure to sign up for my distribution list.

Euro-Zone inflation fell back to a post-2008 crisis low but investors are focused on the return of emerging market fears return over the past several hours. The higher yielding major currencies, notably the Australian Dollar, is suffering against lower yielding counterparts, the Japanese Yen and the US Dollar.

A number of JPY-crosses are nearing significant short-term levels that could see breakouts develop if risk appetite continues to suffer.

--- Written by Christopher Vecchio, Currency Analyst

To contact Christopher Vecchio, e-mail cvecchio@dailyfx.com

Follow him on Twitter at @CVecchioFX

To be added to Christopher’s e-mail distribution list, please fill out this form

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
Learn forex trading with a free practice account and trading charts from FXCM.