- EUR/JPY moves within a tight range below the 126.00 mark.
- Global markets extend the pre-Payrolls lull on Friday.
- The US economy is expected to add 1.4 million jobs in August.
EUR/JPY is trading within a narrow range in line with the rest of the global assets as the release of the US labour market report draws closer.
EUR/JPY looks to data
EUR/JPY has moved into a consolidative range in the last couple of sessions, coming under selling pressure after reaching fresh 2020 highs just above 127.00 the figure earlier in the week.
The correction lower in the broad risk complex has been on the back of the re-emergence of some interest in the greenback along with some profit taking in response to the strong gains recorded in since the start of July.
Earlier in the European docket, German Factory Orders extended the rebound in July, although at a slower pace vs. the June’s reading.
Later in the NA session, all the attention will be on the US Non-farm Payrolls for the month of August. Consensus sees the economy to have added 1.4 million jobs and the unemployment rate to have ticked lower to 9.8%.
EUR/JPY relevant levels
At the moment the cross is retreating 0.04% at 125.79 and a drop below 124.44 (weekly low Aug.21) would expose 124.28 (weekly low Aug.11) and finally 122.87 (monthly high Jan.16). On the other hand, the next up barrier is located at 127.07 (2020 high Sep.1) followed by 127.50 (2019 high Mar.1) and finally 129.25 (monthly high Dec.2018).
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