EUR/JPY recedes from tops, meets resistance around 120.60

Further downside in the Japanese yen coupled with steady-to-bearish sentiment around the European currency leave EUR/JPY stuck within the daily range in the mid-120.00s.

EUR/JPY looks to trade, data

The Japanese safe haven continues on the defensive in light of rising speculations on a positive outcome from the US-China’s ‘Phase One’ partial deal, all in spite of the utter absence of fresh developments around the issue in past sessions.

Also motivating the cross to retreat from weekly tops, the euro remains entrenched into the bearish stance so far this week, paying little-to-nil attention to the better-than-expected results from the EMU calendar earlier in the day.

Indeed, advanced CPI in the broader Euroland showed headlines prices are expected to raise 1.0% on a year to November and 1.3% when comes to Core CPI, both prints surprising markets to the upside.

EUR/JPY relevant levels

At the moment the cross is losing 0.05% at 120.55 and a breach of 119.65 (low Nov.25) would expose 119.33 (100-day SMA) and finally 119.24 (monthly low Nov.14). On the flip side, the next up barrier is located at 120.68 (high Nov.18) seconded by 121.47 (monthly high Oct.31) and then 121.61 (200-day SMA).