FXStreet (Mumbai) – The EUR/JPY pair recovered from the low of 137.97 to trade at 138.32 levels as market driven sell-off in the EUR halted ahead of the US session.
EUR/JPY: heading for a weekly loss
The pair is likely to suffer a weekly loss after having clocked gains for two consecutive weeks. The fall witnessed this week was largely driven by a dip in German yields from September 2014 highs and Merkel’s comments.
The pair turned lower from the high of 138.98 earlier today after German chancellor Merkel termed strengthening Euro as a hindrance to effective reforms in Spain and Ireland. However, the sell-off halted at the low of 137.97 as short EUR positions are squared off ahead of the weekend.
EUR/JPY Technical Levels
The pair now trades at 138.34. The immediate support is seen at 138.00 could push the pair lower to 137.10 (200-DMA). On the flip side, a break above 138.88 (hourly 50-MA) could push the pair higher to 139.50 (hourly 100-MA).
(Market News Provided by FXstreet)