• EUR/JPY accelerates its downtrend to reach levels sub-129.00.
  • The euro suffers amid a sourer market mood and soft macroeconomic data.
  • Breach of 129.50/60 support area has increased negative mood for the euro.

The euro has accelerated its reversal against the Japanese yen on Thursday. The pair is 0.6% down on the day so far, reaching levels below 129.00 after having peaked at 130.50 on Wednesday.

The euro drops further on risk-averse trading

The common currency is losing ground against the safe-haven yen during Thursday’s American market session, with the major stock indexes turning negative after a mildly positive opening.

In Europe, macroeconomic releases have failed to offer support for the common currency. German unemployment figures have disappointed, showing a lower than expected decline in the jobless change, while the surging energy prices have boosted yearly inflation to 4.1%, its highest level in 29 years.

EUR/JPY dives below support area at 129.50/60

Technical indicators are pointing lower after the pair pierced the support area at 129.50/60. Now the pair might find support at 128.75 (September 22 high) before testing an important support area at 127.90/128.00 (August 19, September 23 low).

On the upside, the pair should return above the mentioned 129.50/60, where the 20 and 100-day SMA lie, to ease bearish pressure and attempt to reach 130.00 before aiming to a key resistance area between 130.50 and 130.75 (September 3, 8, and 29 highs).

Technical levels to watch

EUR/JPY

Overview
Today last price 128.88
Today Daily Change -0.98
Today Daily Change % -0.75
Today daily open 129.86
 
Trends
Daily SMA20 129.62
Daily SMA50 129.53
Daily SMA100 130.82
Daily SMA200 129.72
 
Levels
Previous Daily High 130.48
Previous Daily Low 129.68
Previous Weekly High 129.85
Previous Weekly Low 127.93
Previous Monthly High 130.42
Previous Monthly Low 127.93
Daily Fibonacci 38.2% 129.98
Daily Fibonacci 61.8% 130.17
Daily Pivot Point S1 129.53
Daily Pivot Point S2 129.21
Daily Pivot Point S3 128.73
Daily Pivot Point R1 130.33
Daily Pivot Point R2 130.8
Daily Pivot Point R3 131.13

 

 

 

 

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.

Feed news Join Telegram

Recommended content


Recommended content

Editors’ Picks

EUR/USD turns south towards 1.0150 ahead of EU GDP, Fed minutes

EUR/USD turns south towards 1.0150 ahead of EU GDP, Fed minutes

EUR/USD has come under renewed selling pressure below 1.0200 amid broad risk-aversion. The US dollar rebounds ahead of Fed minutes while the euro awaits Eurozone GDP. The shared currency remains weighed down by recession fears and gas crises.

EUR/USD News

GBP/USD drops below 1.2100 amid risk-aversion

GBP/USD drops below 1.2100 amid risk-aversion

GBP/USD is falling below 1.2100 in the European session on Wednesday as investors assess the implications of surging UK inflation on the BOE's next policy move. The US dollar finds demand amid souring risk sentiment ahead of US data and Fed minutes. 

GBP/USD News

Gold’s battle with 50 DMA extends ahead of Fed minutes

Gold’s battle with 50 DMA extends ahead of Fed minutes

Gold price rebounds from weekly lows as the USD resumes correction. US Treasury yields are struggling to find demand ahead of the Fed minutes. XAU/USD needs acceptance above 50 DMA to sustain the recovery.  

Gold News

Solana price hints at a 50% upswing under these specific conditions

Solana price hints at a 50% upswing under these specific conditions

Solana price shows an interesting setup as it tries to overcome a stiff resistance level. The fifth attempt to overcome hurdles will likely be successful due to multiple bullish confluences. Solana price has been on a clear uptrend since producing the June 14 swing low at $25.76.

Read more

FXStreet Premium users exceed expectations

FXStreet Premium users exceed expectations

Tap into our 20 years Forex trading experience and get ahead of the markets. Maximize our actionable content, be part of our community, and chat with our experts. Join FXStreet Premium today!

BECOME PREMIUM

Forex MAJORS

Cryptocurrencies

Signatures