AUD/JPY: No response to Aussie trade data

AUD/JPY continues to trade in the green despite the dismal Aussie data released at 01:30 GMT. 

Australia's trade surplus narrowed to 4,361 million in February from January's 5,210 million. Exports dropped 5% in February following January's 3% decline. Meanwhile, imports fell by 4%, having dropped by 3% in January. 

More importantly, the ANZ Job Advertisements dropped by 10.3%, compared to an estimated contraction of 2.9% versus February's rise of 0.7%. 

So far, the Aussie data has not had any impact on the Aussie dollar, leaving the AUD/JPY largely unaffected near 66.60. That Australia's economy slowed down sharply in March is generally accepted by now and priced in. Therefore, macro data dating back to February and March is of little relevance now. Hence, its not surprising that the AUD/JPY is barely moving in response to the data released at 01:30 GMT. 

Looking forward, the pair may drop into the red under 66.37, as the futures on the S&P 500 have erased gains and are now reporting a 0.20% decline. If the losses are extended, the anti-risk yen may draw bids. 

The Reserve Bank of Australia (RBA) is expected to hold the monetary policy unchanged on Tuesday, having cut rates to zero lower bound and launched the yield curve control program last month. That said, the underlying tone of the policy statement will be eyed by traders. 

Technical levels