Forex

Overall, EUR/JPY is trending upwards. Recently, EUR/JPY moved into the resistance zone of 124.200. The German Preliminary GDP q/q data (Actual: -10.1%, Forecast: -9.0%, Previous: -2.2%) released yesterday indicated that economic growth during the second quarter of 2020 is the largest negative growth in the German economy since the beginning of quarterly GDP calculations for Germany in 1970. Also, the eurozone unemployment rate data (Actual: 7.8%, Forecast: 7.7%, Previous: 7.7% revised from 7.4%) released yesterday indicated a slight increase in unemployment in June. The eurozone CPI flash estimate y/y and preliminary flash GDP q/q data will be released later at 1700 (SGT). -CPI Flash Estimate y/y (Forecast: 0.3%, Previous: 0.3%) -Core CPI Flash Estimate y/y (Forecast: 0.8%, Previous: 0.8%) -Preliminary Flash GDP q/q (Forecast: -12.0%, Previous: -3.6% revised from -3.8%) The Japanese Preliminary GDP q/q data (Forecast: NA, Previous: -0.6% revised -0.9%) will be released next Monday at 0750 (SGT). Currently, EUR/JPY is testing the resistance zone of 124.200 and the next support zone is at 121.700. Look for buying opportunities of EUR/JPY if it breaks the resistance zone of 124.200.