EUR/JPY bounces off recent lows, retakes 133.00 and above

EUR/JPY gathers further upside traction after recent lows.
German, EMU Economic Sentiment surprised to the downside.
Markets’ attention remains on the ECB, US CPI.

The mild selling bias in the Japanese yen seems to be enough to sustain the move higher in EUR/JPY to the 133.30 zone on turnaround Tuesday.

EUR/JPY meets support just below 133.00 so far

EUR/JPY reverses three consecutive daily pullbacks and manages to return to the area above 133.00 the figure in the first half of the week, all amidst the prevailing consolidative mood in the broader markets.

Indeed, the upside in the cross appears capped by shrinking US yields, with the 10-year benchmark now threatening to re-visit the key support around 1.50%, while yields of the German 10-year Bund also head lower to the -0.21% area.

Earlier in the session, the Economic Sentiment in both Germany and the Euroland unexpectedly receded to 79.8 and 81.3, respectively, for the month of June, which has also put the euro under extra pressure.

EUR/JPY relevant levels

So far, the cross is gaining 0.06% at 133.22 and a surpass of 134.12 (2021 high Jun.1) would pave the way for a test of 134.40 (monthly high Sep.2017) and then 134.50 (monthly high Oct.2017). On the other hand, the next support is located at 132.88 (monthly low Jun.7) followed by 132.52 (weekly low May 24) and finally 131.64 (weekly low May 12).

Share: Feed news

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.