Back

EUR/JPY: Bulls unstoppable, flirts with hourly 200-SMA

FXStreet (Mumbai) - The bid tone on the EUR keeps growing bigger in the mid-European trades, now pushing EUR/JPY to fresh three-day highs just near the mid-point of 132 handle.

EUR/JPY rises sharply from 132.20

Currently, the EUR/JPY pair trades 0.44% higher at 132.44, testing hourly 200-SMA resistance located at 132.45 levels. The EUR/JPY cross climbs further in the green territory with the bulls completely in command on the back of persistent strength in the common currency versus the greenback. The euro garners support across the board from the decline in the European stocks amid lower oil prices.

In addition, the ongoing weakness in the yen against its American counterpart also contributes to the upside in EUR/JPY. Meanwhile, the latest dismal Japan’s economic data overshadowed hawkish comments from BOJ’s board member Funo, and therefore keeps yen undermined.

EUR/JPY Technical Levels

To the upside, the next resistance lies at 132.76 (20-DMA), above which it could extend gains to 133.50 (100-DMA). To the downside, the cross finds immediate support at 132.10 (50-DMA), below that 131.65/57 (daily low/ Oct 29 Low), could act as a major support.

More QE necessary to achieve inflation target – ECB’s Mersch

Speaking at the International Bankers Forum on Monday, European Central Bank (ECB) Executive Board Member, Yves Mersch, touched the topic of ECB’s QE program and stated that more accommodative monetary policy is required in order to achieve the central bank’s price target.
আরও পড়ুন Previous

The Dollar Index: What the charts say - SocGen

Stephanie Aymes, Analyst at Societe Generale, expects the dollar index to extend its uptrend for 2016, but a marginal new high to be followed by a consolidation phase in the near term.
আরও পড়ুন Next