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3 May 2013
Forex: EUR/JPY benefits from US NFP and moves to 129.50
FXstreet.com (Barcelona) - The USD/JPY rally seen after the US nonfarm payrolls report had a positive effect on the EUR/JPY, and from 128.50 the cross jumped by 100 pips to 129.50 in order to trade +1.20% higher on the last day of the week. The market is still below yesterday’s high of 129.91 that was printed after the ECB rate cut by 25bp to 0.50%, and quickly retraced in reaction to Draghi’s open mind regarding negative deposit rates.
The US nonfarm payrolls surprised investors as the March weakness was revised higher by 50K, from 88K to 138K. Also, April data came in above market consensus, at 165K instead of 145K.
“The EUR/JPY has moved out of its declining channel. Monitor the resistance at 129.91. Supports can be found at 127.06 and 126.44”, wrote MIG Bank analysts Bijoy Kar and Luc Luyet.
The US nonfarm payrolls surprised investors as the March weakness was revised higher by 50K, from 88K to 138K. Also, April data came in above market consensus, at 165K instead of 145K.
“The EUR/JPY has moved out of its declining channel. Monitor the resistance at 129.91. Supports can be found at 127.06 and 126.44”, wrote MIG Bank analysts Bijoy Kar and Luc Luyet.