The Australian dollar reached its highest intraday price against the yen since October 1990 on 25 February 2026 after Australia announced higher than expected annual headline inflation in January. Ambiguity over the possible directions of monetary policy has dominated the financial news from Japan recently, as the board of the Bank of Japan seems to be divided between pausing and continuing modest tightening.
The main challenge for new buyers of AUDJPY in this situation is finding a decent entry that isn’t too close to the recent very long-term high. Another retracement to the area of the 100% weekly Fibonacci might give such an opportunity ,depending on momentum and volume. ¥112 could be an upcoming resistance if the price reaches new highs.
The 20 SMA hasn’t recently been a clear dynamic support, but it could challenge a break below around ¥109.50. The uptrend has, on the whole, been quite consistent since around the middle of 2025, as shown by the relatively low ATR, a bit below one yen. As for AUDUSD, a key upcoming release which might drive the next direction is Australian GDP on 4 March; 0.8% as expected, or possibly even higher, could give AUDJPY a boost.
This article was submitted by Michael Stark, an analyst at Exness.
For the latest analysis, ideas for trading and more, follow Michael on X: @MStarkExness.
The opinions in this article are personal to the writer; they do not represent those of Exness. This is not a recommendation to trade.
