AUD/JPY trading into the low of recent consolidation

• Aussie trades flat on a quiet week, but Friday promises to end things on a busy note.
• BoJ rate call, US GDP will introduce a healthy dose of volatility to end the week.

The AUD/JPY is consolidating near 82.60, lacking momentum to push the pair into either direction this week.

The pair traded to the inside of a 40-pip range on Thursday, ending the day lower slightly but still well within the week's range as the Aussie has been relegated to the back of the currency pile.

The Aussie's showing on the macro calendar for Friday is an equally quiet showing, with only low-tier Producer Price Index figures on the docket, though the Yen is not the same story. 

The Yen sees a busy Friday, kicking off with the Tokyo CPI figures at 23:30 GMT Thursday, which is expected to hold steady at 0.8%. Tokyo CPI is used as a precursor to the national figures, and will carry some weight behind it, though the overall impact could be limited as traders await the Bank of Japan (BoJ) on Friday with their Rate Statement. The BoJ is widely expected to keep holding interest rates where they are for the indeterminant future, but markets will be keeping a close eye on the BoJ's rhetoric to glean some hints about the central bank's future direction with tapering.

AUD/JPY Levels to watch

With the pair trading back after making lower highs near 83.60 last week, the pair is leaning to the bearish side, and Aussie bulls are going to see tough competition from the last highs and the 50-day EMA at 83.15 while the way looks clear for bears to take it to lows near 80.50.