EUR/JPY Forecast February 5, 2016, Technical Analysis

The EUR/JPY pair tried to rally during the day on Thursday, but turned around to form a massive shooting star. It was preceded by a hammer on Wednesday, so this looks like a market that is essentially sitting still and grinding sideways. However, we recognize of the 130 level should be supportive so at this point in time will probably going to just step on the sidelines even though we expect a lot of volatility as the pair tends to be very risk sensitive, and of course we have the Nonfarm Payroll Numbers coming out during the day.