- Euro marks highs in more than two years for the fourth day in a row against the yen.
- EUR / JPY continues to advance, on Tuesday driven by the rise of the EUR / USD.
The EUR / JPY continues to climb and climbed to 133.12 on Tuesday, reaching levels last seen in September 2018. The cross remains bullish, above 133.00.
The euro gained momentum against the yen after breaking above 132.95 (May 17 high) and extended the bullish run. It is the fourth consecutive day that it reaches new highs in years. The momentum is given by the EUR / USD rally, In a context of the collapse of the dollar, moderate rise in the stock markets and stability in the bond market.
The 133.10 / 15 zone is a resistance to consider. It is where the highs of September 2018 are. Above then appears 133.40 / 45, the high of April 2018. In the opposite direction, now the 132.75 area is a support to consider, followed by 132.50.
Japan and the eurozone contract in the first quarter
Data published on Tuesday showed an economic contraction in Japan during the first quarter, of 1.3%, a figure lower than the expected drop of 1.2%, the annualized rate was -5.1%. A weaker-than-expected domestic demand was the cause of the most significant contraction.
In the Eurozone, as expected, the preliminary growth data for the first quarter showed figures in line with the market consensus, contracting 0.6% compared to the previous quarter and 1.8% compared to a year ago.
For the rest of Tuesday, the economic calendar is relieved, highlighting the US housing startup report and the speech by Christine Lagarde, president of the European Central Bank, during an award to students.
Technical levels
.
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
