MUFG closed its short NZD/USD trade on Friday and recommended a new sale on AUD/JPY from 91.70 with a target of 88.70 and a stop at 94.20. The trade has moved 80 pips against them today so far.

“We are recommending a new short AUD/JPY trade idea ahead of the RBA policy meeting. The AUD/JPY rate has just closed below its 200-day moving average for the first time since the start of the year.”

On the short NZD/USD trade, they said that recent price action suggests it was premature.

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