27 Jul 2015
EUR/JPY: Rally capped at 136.99
FXStreet (Mumbai) - The shared currency extends its upbeat momentum versus its Japanese counterpart in the European morning, pushing EUR/JPY towards 137 handle, largely after the euro was caught by fresh bid wave on the release of impressive German Ifo survey.
EUR/JPY eyes 50-DMA at 137.23
Currently, the EUR/JPY pair trades 0.59% higher at 136.78, unable to breach 137 handle. The cross rallied to fresh 2-week highs after the shared currency was highly in demand across the Fx board after German businesses saw an improved business climate.
The headline Ifo Business Climate Index came in at 108 points in July, above the 107.4 booked in June. Markets had forecast a slight increase to 107.5 points in the reported period.
However, the gains in the cross were capped by strengthening yen against the US dollar after markets favoured the safer-assets such as yen on falling global equities.
Looking ahead, US durable goods orders data due later today is likely to influence further moves in EUR/JPY.
EUR/JPY Technical Levels
To the upside, the next resistance is located at 136.99 (Today’s High) levels and above which it could extend gains 137.23 (50-DMA) levels. To the downside immediate support might be located at 136 below that at 135.76 (Today’s Low) levels.
EUR/JPY eyes 50-DMA at 137.23
Currently, the EUR/JPY pair trades 0.59% higher at 136.78, unable to breach 137 handle. The cross rallied to fresh 2-week highs after the shared currency was highly in demand across the Fx board after German businesses saw an improved business climate.
The headline Ifo Business Climate Index came in at 108 points in July, above the 107.4 booked in June. Markets had forecast a slight increase to 107.5 points in the reported period.
However, the gains in the cross were capped by strengthening yen against the US dollar after markets favoured the safer-assets such as yen on falling global equities.
Looking ahead, US durable goods orders data due later today is likely to influence further moves in EUR/JPY.
EUR/JPY Technical Levels
To the upside, the next resistance is located at 136.99 (Today’s High) levels and above which it could extend gains 137.23 (50-DMA) levels. To the downside immediate support might be located at 136 below that at 135.76 (Today’s Low) levels.