AUDJPY MONTHLY CHART.Australian Dollar/Japanese YenFX:AUDJPYShavyfxhubTECHNICAL OUTLOOK AUDJPY CLOSE OF FRIDAY FX WINDOW EXCHANGE RATE =100.762 THE NEXT DEMAND FLOOR IN THE CASE OF PULL BACK WILL BE AROUND 97.804 SUPPLY ROOF 101.820 SUPPLY ROOF 108.586-107.806 ZONE . AU10Y=4.338% RBA RATE =3.6% JP10Y=1.659% BOJ RATE =0.55 INTEREST RATE DIFFERENTIAL =3.1% BOND YIELD DIFFERENTIAL= 2.679% CARRY TRADE ADVANTAGE FROM BOND YIELD PERSPECTIVE = AUD LONG CARRY TARDE ADVANTAGE FROM INTEREST RATE DIFFERENTIAL = AUD LONG MARKET STRUCTURE STATUS -ON MONTHLY BOS retest will be a long confirmation AUDJPY FUNDAMENTAL OUTLOOK. The head of the Reserve Bank of Australia (RBA) is Governor Michele Bullock, who took office in September 2023. She is the first female governor of the RBA and is known for a data-dependent, cautious approach to monetary policy amid inflation concerns in Australia. The head of the Bank of Japan (BOJ) is Governor Kazuo Ueda, who has been cautiously guiding the BOJ through a gradual normalization of monetary policy since Japan’s first rate hike in 17 years in 2024. Ueda balances inflation pressures with risks to Japan’s fragile economy and export sector impacted by tariffs and global uncertainties. His tone is more dovish compared to some hawkish board members. The RBA's policy rates remain significantly higher (around 3.6%) versus the BOJ's ultra-low or slightly positive rates near 0.5%, creating a substantial interest rate differential favoring AUD over JPY. Australia's relatively stronger inflation outlook and cautious delay in rate cuts contrast with Japan’s slower economic growth and BOJ's measured monetary tightening, positioning the AUD as a yield-attractive currency. Market sentiment favors carry trades into AUDJPY given this yield differential combined with Australia's commodity-linked economy outlook, which often supports AUD strength. Additionally, global risk-on sentiment improves appetite for higher-yielding currencies like AUD versus safe-haven JPY amid geopolitical and economic uncertainties. Thus, the RBA’s stance on holding or cautiously approaching rate cuts, combined with the BOJ’s cautious and slower tightening path, creates a natural dynamic for investors to go long AUD against JPY. In summary, Michele Bullock leads the RBA with a focus on inflation and economic data, Kazuo Ueda leads the BOJ with cautious normalization, and the RBA’s higher rates and Australia's economic outlook compared to Japan support a strategic long AUD/JPY position driven by interest rate differentials and market sentiment. ECONOMIC DATA REPORT AND DATES . Tue Nov 4 1:30am JPYFinal Manufacturing PMI 48.348.3 4:30am AUDCash Rate FORECST 3.60%3.60% RBA Monetary Policy Statement RBA Rate Statement Wed Nov 5 12:50am JPY Monetary Base y/y -5.0%-6.2% Monetary Policy Meeting Minutes NOTE;TRADING IS 100% PROBABILTY ANY KEY LEVEL CAN FAIL MANAGE YOUR RISK #AUDJPY #AU10Y #JP10Y