EUR/JPY snaps two-day winning streak in Asia

Bid tone around Yen strengthened in Asia, pushing the EUR/JPY pair lower to 113.04 levels.

Trapped between key Fibo levels

At 113.30, the cross appears stuck in the range of 112.53 (23.6% of Friday’s fall) and 114.35 (38.2% of Friday’s fall). Dollar-Yen pair dipped in Asia following a two-day winning streak. Meanwhile, losses in Cable weighed over the EUR/USD, forcing it to surrender gains.

Consequently, EUR/JPY turned lower from the Asian session high of 113.89 to clock a low of 113.04 levels before recovering slightly to trade around 113.23. The immediate focus is on the outcome of the BOJ and Japanese government meeting scheduled today.

EUR/JPY Technical Levels

The immediate resistance is seen at 114.35 (38.2% of Friday’s fall), above which the cross could test 115.00. A violation there could yield 115.50 (June 16 low). On the other hand, a break below 112.53 (23.6% of Friday’s low) would open doors for a slide to 112.00. A break lower could yield 111.39 (Monday’s low).