FXstreet.com (Barcelona) - Risk aversion is taking the EUR/JPY down on Thursday, by -1.13%. It's daily range counts already with more than 100 pips, from 102.40 high in early Asian session to the recently printed 101.07 low ahead of the European opening. The weak HSBC manufacturing PMI in China, posting the figure of 47.6 in September (marginally higher than August’s nine-month low of 47.6) is hurting sentiment today.
The cross has bounced to 101.20 area ahead of the Markit PMI data in the Eurozone countries. The PPI data in Germany rose by +0.5% on the month of August to an annualized improvement to +1.6%, above expectations.
“The Elliot wave count on the daily chart is pointing to a 101.56/100.80 retracement prior to stabilizing and reattempting the topside”, wrote Commerzbank analyst Karen Jones, pointing to 99.29 as support.