AUD/JPY jumps to one-month high on strong Aussie jobs data

• Strong Aussie jobs data boosts AUD.
• Yen under pressure as treasury yields recover.

The ABS reported earlier today that the Australian economy added 61.6K jobs in November, beating the estimated figure of 18K by a big margin. The full-time employment stood at 41.9k vs previous 24.7 k, while part-time employment 19.7k from previous -20.3k, while the participation rate ticked higher to 65.5 percent from 65.1 percent.

The stellar numbers pushed the Australian dollar higher across the board. The AUD/JPY pair rose to a one-month high of 86.48 and was last seen trading around 86.40 levels.

Also helping the pair gain altitude is the moderate recovery in the US 10-year treasury yield and the resulting weakness in the Japanese Yen. The 10-year treasury yield trades at 2.36 percent vs. the post-Fed low of 2.34 percent.

Looking ahead - The cross could move above 86.55 (50-day MA) if the equity markets across the globe remain well bid.

AUD/JPY Technical Levels

A break above 86.69 (Oct. 31 low) would open up upside towards 86.97 (Nov. 8 low) and 87.10 (100-day MA). On the other hand, a break below 86.20 (Dec. 5 high) could yield a pullback to 85.85 (200-day MA) and 85.76 (5-day MA).