FXStreet (Edinburgh) – The better tone from the Japanese currency is now dragging EUR/JPY to test fresh lows in the mid-132.00s so far.

EUR/JPY focus on PMIs, risk

The selling interest persists around the cross today, currently challenging weekly troughs in the 132.50 area against a backdrop of a generalized offered tone in EUR.

The weakness around the single currency has intensified as of late following the ECB meeting last month and in response to yesterday’s dovish comments by President Draghi, who stated that the ECB remains ready to pump further stimulus in December.

There are no relevant events in the Japanese economy, while Services PMIs in the euro area will be in the limelight later during the European morning.

EUR/JPY significant levels

The cross is losing 0.13% at 132.48 with the next support at 132.18 (monthly low Sep.8) ahead of 131.80 (6-month uptrend) and finally 131.58 (low Oct.29). On the other hand, a surpass of 133.43 (61.8% Fibo of 136.44-131.58) would expose 134.49 (200-day ma) and then 134.82 (55-day sma).

The better tone from the Japanese currency is now dragging EUR/JPY to test fresh lows in the mid-132.00s so far…

(Market News Provided by FXstreet)

By FXOpen