Forex Marketz Daily Forex News – Fully Markets Update
Overnight, during the North American trade session, the euro currency gained nearly a quarter percent against the safe haven yen as market sentiment improved. The EUR/JPY Forex pair is consolidating around 127.80 to 90 during the start of Friday’s trade session.
Financial market participants are watching the new Omicron Covid-19 variant. It seems more transmissible and appears to cause mild symptoms. More information is needed.
Also, the U.S. Federal Reserve seems to be firm with finishing their monthly pandemic era purchases by end of the second quarter in 2022. This is not helping safe haven assets like the yen.
Forex traders will be watching November’s U.S. non-farm payroll (NFP) report closely. The United States will also release their monthly unemployment rate, monthly labor participation rate and average hourly earnings.
Also on the U.S. economic schedule, ISM will publish their monthly services purchasing managers’ index. In the euro area, Germany is publishing their monthly services purchasing managers’ index as is the United Kingdom. The UK will also release their monthly composite purchasing managers’ index.
Daily Euro / Yen Technical Report
Looking at the above one hour MT 4 price chart, the EUR/JPY currency exchange rate is trading sideways. Overnight, the euro currency trade above the fifty (50) hour simple moving average but below the one hundred (100) hour simple moving average around 128.20.
The euro currency could not move above the 100 hour simple moving average and fell lower towards 127.70 yen. The EUR/JPY currency exchange rate continues to look bearish in the near-term. Immediate technical support lines up at the 1 December high price point.
This support level is at 127.55 yen. The next downside barrier lines up at 127 yen with the 9 February swing low price point at 126.43 then coming into focus.
On the upside, immediate resistance lines up at 128 yen. The next upside barrier lines up at the 30 November high price point at 128.60 with the 200 hour simple moving average in play around 128.62 yen.
