EUR / JPY falls to one-week lows at 133.30, uptrend weakens

Get real time updates directly on you device, subscribe now.

  • The euro’s decline affects the EUR / JPY, which accelerates correction from highs in years.
  • The euro has the worst week since March against the yen.

The EUR / JPY broke below 133.60 and extended the decline to 133.30, hitting the lowest level in a week. In this way, the crossing accelerates the correction after having climbed to 134.12 on Tuesday, the maximum since February 2018.

The decline in the EUR / JPY may be a sign of a possible consolidation or extension of the correction after several weeks with a steady bullish run. For now, the current week’s reversal of the crossover is the largest since March of this year.

The negative tone has to do with a weakness of the euro, caused by the decline of the EUR / USD. On Friday in turn, the downward correction of the USD / JPY was added. The stability in the yields of the Treasury bonds propitiated the movements in the mentioned pair.

The US employment report to be released at 12:30 GMT may have a large impact on the EUR / JPY. There are factors that can play limited tours. Should the market perceive positive data, boosting Treasury yields, it would be a supportive factor for the EUR / JPY on the side of the weakness of the yen, but at the same time, it could lead to further falls in EUR / USD, which has been the dominant factor in the recent EUR / JPY rallies this week. In turn, a rise in stocks should offer support to the crossover.

The Dominant trend remains clearly bullish in EUR / JPY, but there is room for major corrections without putting the dominant management at risk. The most relevant upcoming supports can be seen at 133.10 and then 132.45.

Technical levels


Get real time updates directly on you device, subscribe now.

Leave A Reply

Your email address will not be published.