AUD/JPY fell below 83.00 for Thursday, struggling to find the brakes

• The AUD got crushed in risk-averse markets, trend set to continue for Friday.
• No macro data leaves risk sentiment free to drag markets around by the nose.

The AUD/JPY fell in Thursday's trading into 82.80 at the start of the overnight session. The pair tumbled on risk-off markets that saw commodity currencies punished, with the Aussie taking a significant beating across the broader currency bloc. The AUD/JPY lost the 83.00 handle late in the New York session, and with little macro data for either currency penciled in for Friday, market sentiment will continue to make the big decisions.

The Reserve Bank of Australia`s (RBA) Deputy Governor Guy Debelle gave a speech about risk and return in low-interest rate environments, and Debelle`s usual blunt style came through with an indirect warning for the Aussie: risk assets are likely to rebalance as global interest rates go up.

Little else remains on the macro calendar for either currency this week, and the AUD/JPY pair heads into Friday`s trading being led by market sentiment into the week`s close. The Japanese land sale scandal is a thorn in the Asia session's side and a lack of confidence in the Japanese government could further erode buyer's confidence for Friday.

AUD/JPY Technicals

The pair dropped through support from the 8-day EMA which will now provide resistance from 83.22, with the 34-day EMA providing resistance from higher up at 84.27, while support thins from last week's swing low near 82.50 and the week's low at 81.48.