• USD/JPY dipped on Friday as the dollar retreated on mounting expectations the Federal Reserve will cut rates this month.
• The U.S. Bureau of Labor Statistics will release August nonfarm payrolls, with economists projecting a 78,000 gain following July’s 73,000 increase.
• Data released Friday showed Japanese real wages turned positive in July after seven months, helped by seasonal bonuses, with consumer spending also rising for the third month in a row..
• Inflation-adjusted wages increased 0.5% in July from a year earlier, marking the first rise since last December, with bonuses and special payments up 7.9%, labor ministry figures showed.
• Meanwhile, Japan’s household spending increased 1.4% YoY in July, falling short of the 2.3% median forecast, according to internal affairs ministry data.
• Immediate resistance is located at 148.58(38.2%fib), any close above will push the pair towards 148.95 (Higher BB).
• Support is seen at 147.65(SMA20) and break below could take the pair towards 146.79 (50%fib ).
Recommendation: Good to buy around 148.20 with stop loss of 147.50 and target price of 149.00
