AUD - BEARISH
1️⃣ Australian local 10-year bond yields fell from 22-month highs to 1.771% after the news, while US 10-year rates eased slightly from 13-month highs to 1.595%.
JPY - BULLISH
1️⃣ Ahead of the BoJ’s Monetary Policy Statement on Friday, some investors predict that policymakers may phase out a numerical target for its risky asset buying, highlighting the rising cost of prolonged easing and marking a turning point for Governor Haruhiko Kuroda’s massive stimulus programme.
2️⃣ Japan’s industrial output growth in January was revised slightly higher to 4.3% from a flash figure of 4.2%, the strongest growth since July last year.
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Technical
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We are looking to sell the AUDJPY at SBR + below SMA 50 on the H1 chart.
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Risk to this trade
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Any change in sentiment could turn the pair's direction.