FXStreet (Guatemala) - AUD/JPY is trading below the 1hr 20 sma at 85.70 while we await the big news for today coming from Chinese PMI's. See here for a preview. The Big news last week though came from the BoJ. Earlier, we wrote that the BoJ were adding another dimension when markets were taken by surprise on the BoJ's move when they announced it would adopt a negative discount rate. This exposed the downside in the Yen and it lost bog ground across the board. AUD/JPY rallied from 83.77 and scored a high of 86.36. On a positive outcome in Chinese PMI's, the cross could regain territory on the 86 handle. However, the downside and a test of 85.00 the figure could be the outcome on a continued contraction in the Chinese manufacturing sector. AUD/JPY levels AUD/JPY is technically above the pivot of 85.42 with R1 at 86.77 through the 100 dma at 86.16. RSI (14) on the daily sticks is 58.60 and in neutral while the price has made a majority recovery of the 2016 downtrend within a bullish reversal targeting 88.00. For more information, read our latest forex news.