EUR/JPY sidelined above 131.00 ahead of NFP

• The cross extends the consolidation above the 131.00 handle.
• The Japanese safe haven stays on the defensive so far this week.
• US Non-farm Payrolls the salient event later in the session.

EUR/JPY is extending the weekly upside so far on Friday, currently trading in the mid-131.00s, or multi-day highs.

EUR/JPY focused on Payrolls

The cross reverted yesterday’s pullback and remains on track to close the second consecutive week with gains, trading at shoouting distance from recent tops in the 131.80 region ahead of the key 200-day sma at 132.14.

The upbeat tone in the risk associated space in response to alleviated concerns over a US-China trade war keeps adding to JPY-outflows and has been propping up the climb in the cross as of late.

Looking ahead, US Non-farm Payrolls is expected to show a creation of 190K jobs during March, while the jobless rate is seen ticking lower to 4.0% from 4.1%. However, investors’ attention will likely be on the results from Average Hourly Earnings, a proxy for wage inflation.

EUR/JPY relevant levels

At the moment the cross is losing 0.01% at 131.44 and a breach of 130.88 (21-day sma) would aim for 129.97 (low Apr.3) and then 129.34 (low Mar.5). On the other side, the next hurdle emerges at 131.84 (high Mar.27) seconded by 132.14 (200-day sma) and finally 132.46 (high Mar.13).