EUR/JPY accelerates upside, jumps to 128.00

The euro is having the best day in a month against the Japanese yen on the back of risk appetite.
EUR/JPY breaks key technical levels, jumps to highest in 10 days.

Matías Salord FXStreet

The EUR/JPY accelerated to the upside during the American session on the back of a sell-off of the Japanese yen and amid a rally in Wall Street. As EUR/USD soared, USD/JPY remained flat havering near daily highs.

The S&P 500 hit fresh record highs while the US dollar resumed the downside across the board. EUR/JPY climbed to 128.04, hitting the strongest level since August 10. The pair remains near the highs consolidating most of the day’s gains.

EUR/JPY Key levels to watch

To the upside, resistance levels could be seen at 128.25 (20-day moving average), 128.50 (Aug 6 & 8 low) and 129.10. On the flip side, support might lie at 127.35, 127.15 and 126.75.

On a wider perspective, the pair is consolidating on top of 127.00, after breaking a range of several days. The move could signal that a bottom has been reached last week at 124.89.

Author

Matías Salord

FXStreet

Matías started in financial markets in 2008, after graduating in Economics. He was trained in chart analysis and then became an educator. He also studied Journalism. He started writing analyses for specialized websites before joining FXStreet.

EUR/USD flirts with daily highs, retargets 1.1900

EUR/USD regains upside traction, returning to the 1.1880 zone and refocusing its attention to the key 1.1900 barrier. The pair’s slight gains comes against the backdrop of a humble decline in the US Dollar as investors continue to assess the latest US CPI readings and the potential Fed’s rate path.

GBP/USD remains well bid around 1.3650

GBP/USD maintains its upside momentum in place, hovering around daily highs near 1.3650 and setting aside part of the recent three-day drop. Cable’s improved sentiment comes on the back of the Greenback’s irresolute price action, while recent hawkish comments from the BoE’s Pill also collaborate with the uptick.

Gold holds above $5,000 as bears seem hesitant amid Fed rate cut bets

Gold edges lower at the start of a new week, though it defends the $5,000 psychological mark through the Asian session. The underlying bullish sentiment is seen acting as a headwind for the bullion. However, bets for more rate cuts by the Fed, bolstered by Friday's softer US CPI, keep the US Dollar bulls on the defensive and continue to support the non-yielding yellow metal as the focus now shifts to FOMC Minutes on Wednesday.

Week ahead: Data blitz, Fed Minutes and RBNZ decision in the spotlight

The US jobs report for January, which was delayed slightly, didn’t do the dovish Fed bets any favours, as expectations of a soft print did not materialize, confounding the raft of weak job indicators seen in the prior week.

Global inflation watch: Signs of cooling services inflation

Realized inflation landed close to expectations in January, as negative base effects weighed on the annual rates. Remaining sticky inflation is largely explained by services, while tariff-driven goods inflation remains limited even in the US.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.