FX Update- EUR/JPY
EUR/JPY, down 0.4% to 161.12, continues to trade below its 200-day moving average at 162.20 after falling below is shortly after lunch. EUR/JPY is finding marginal support above 162, after bottoming out at 161.88 earlier in the day, and is in line with coincident lows from the beginning of June. Despite today’s weakness, EUR/JPY appears to be consolidating above 162, which may be indicative of a near-term bottom from its near 5% sell off beginning August 7th. EUR/JPY is currently sandwiched between 2/3 and ¾ retracement from its May 9th low at 158.61. Without the benefit of European markets, EUR/JPY trade should be thin for the remainder of the afternoon session.