Ella 
AUD/JPY lost traction on Monday and remains stuck below 94. Earlier in the day, the Bank of Japan (BoJ) issued an unlimited amount of Japanese Government Bonds (JGB) with a remaining maturity of 5 to 10 years at a fixed rate. AUD/JPY traded lower to 93.57 after the data, before rebounding to the 93.75 mark during the Asian session.
From a technical point of view, on the 4-hour chart, AUD/JPY is trading in a downtrend channel since mid-June. However, the path of least resistance is to the downside as the price remains below the 50 and 100 hourly EMAs.
The short-term resistance level is 94.00 (50 hours EMA, psychological round number mark). The next hurdles focus on 94.20 (100 hours EMA) and 94.80 (top of descending channel). Any meaningful follow-through buying above the latter would push the pair towards 95.40 (14 Jul high).
On the downside, the key support level is at 93.00, which is the psychological round number and the August 4th low. Next support is at 92.50 (Jul 18 low), then at 92.15 (June 6 low). A break of the latter could lead to a drop towards 91.80 (the bottom of the descending channel).
