FXStreet (Edinburgh) – The common currency has retaken some ground lost vs. the Japanese currency, with EUR/JPY now reclaiming the mid-127.00s.

EUR/JPY rebounds from multi-month lows

After bottoming out in sub-127.00 levels in early trade, the cross has managed to not only recover the 127.00 handle but also to advance towards 127.50/55 following today’s mixed releases in the euro region.

In fact, Economic Sentiment and Business Climate have surpassed expectations while Retail Sales have come in on the softer side during November, contracting 0.3% on a monthly basis.

In the meantime, the ongoing risk aversion keeps sustaining the bid tone around the safe haven JPY, mainly in response to the increasing unease in global equity markets.

EUR/JPY key levels

As of writing the cross is losing 0.22% at 127.52 facing the next support at 126.05 (2015 low Apr.14) followed by 124.96 (low Jun.13 2013) and then 119.06 (low Apr.3 2013). On the other hand, a breakout of 131.87 (55-day sma) would expose 133.15 (downtrend from 139.09) and finally 134.31 (200-day sma).

The common currency has retaken some ground lost vs. the Japanese currency, with EUR/JPY now reclaiming the mid-127.00s…

(Market News Provided by FXstreet)

By FXOpen