Now the market is focused on US data. Recently, we have seen some disappointments, and the Fed looked less hawkish than it was expected. And this was the reason the USD was falling.
However, the labor data may help American currency. If number of new jobs exceeds 180K, it will be perceived positively. Andifwagesgrowthisabove 0.3%, itwilldriveUSDcrazy.
Today we need to pay attention to Non-Manufacturing ISM, as it’s one of the best leading indicators of Non-Farm Payrolls results, given the fact that 70% of employed Americans work in service sector.
If the numbers come up better than expected, USDJPY may target 111.00 followed by 111.70.