EUR/JPY looks firmer and eyes YTD highs around 130.00

EUR/JPY extends gains to the 129.60 region on Friday.
Higher US yields keep the selling mood around the yen unchanged.
US Nonfarm Payrolls will take centre stage later in the NA session.

Pablo Piovano FXStreet

The march higher in US yields keep the selling bias well and sound around the Japanese yen and motivate EUR/JPY to extend the upside momentum well above 129.00.

EUR/JPY now looks to US docket

EUR/JPY trades with a positive bias for the fifth session in a row at the end of the week, always supported by the persistent offered note surrounding the Japanese yen.

In fact, the rally in US yields continues to lend wings to the greenback and encourage JPY bears to remain in control, all morphing into extra gains in the cross and opening the door to a potential visit to the 2021 highs in the 130.00 neighbourhood (February 25).

By the same token, USD/JPY clinched levels last seen in June 2020 beyond the 108.00 yardstick.

Earlier in the session, German Factory Orders expanded more than expected at a monthly 1.4% during January. Later, investors will closely follow another release of the Nonfarm Payrolls (182K exp.) and the jobless rate (6.3% exp.).

EUR/JPY relevant levels

At the moment the cross is gaining 0.11% at 129.31 and faces the next resistance at 129.87 (2021 high Feb.24) followed by 130.00 (psychological level) and then 130.14 (monthly high Nov.7 2018). On the other hand, a drop below 128.18 (weekly/monthly high Mar.2) would aim for 127.30 (low Feb.17) and finally 127.01 (50-day SMA).

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

EUR/USD looks to stabilize near 1.1600 as focus shifts to US data

EUR/USD is looking to stabilize near 1.1600 in the European session on Wednesday as traders breathe a sigh of relief before the top-tier US ADP jobs and ISM Services PMI data. A pause in the US Dollar uptrend helps the pair's recovery, but surging energy prices due to the Iran war will likely remain a drag.

GBP/USD stays weak near 1.3350 as USD preserves gains

GBP/USD stays in the red below 1.3350 in the European session on Wednesday. Escalating conflict in the Middle East keeps the "flight to safety" theme intact, supporting the US Dollar against the Pound Sterling. Traders will take more cues from the US ADP Employment and ISM Services Purchasing Managers Index reports, which are due later on Wednesday.

Gold retains positive bias amid sustained safe-haven flows and modest USD pullback

Gold maintains its offered tone through the first half of the European session, though it lacks follow-through and remains below the $5,200 mark. Investors remain concerned about a prolonged conflict in the Middle East and its impact on the global economy amid an already uncertain environment.

ADP Employment Report set to signal stronger February jobs growth, little effect on Fed outlook

The Automatic Data Processing (ADP) Research Institute will release its monthly report on private-sector job creation for February on Wednesday. The so-called ADP Employment Change report is expected to show that the United States private sector added 50K new positions in the month, following the 22K gained in January.

Asian stocks fall as South Korea’s KOSPI slumps over 10%

Asian equities drop on Middle East tensions; the MSCI Asia Pacific Index falls up to 4%. South Korea’s KOSPI fell 10.71% near 5,170, with the Korean Won weakened past 1,500 per dollar.

Solana Price Forecast: SOL consolidation near resistance as ETF inflows offer mild support

Solana price is facing slight rejection as it approaches the upper boundary of the consolidation range at around $88 on Wednesday. Institutional demand is strengthening as spot Exchange Traded Funds recorded two consecutive inflows so far this week.