EUR/JPY finds support above 113.00

EUR/JPY is falling on Tuesday but it has been able to hold on top of 113.00. The yen is among the strongest currencies in the market despite rising stocks. The appreciation of the Japaneses currency offset the rally of EUR/USD above 1.1100 that did not lift EUR/JPY.

EUR/JPY consolidating

The pair broke below 113.35 during the European session and bottomed at 113.02. The area around 113.00, where the 100-hour moving average stands capped the decline. From there it bounced to the upside; the recovery was limited by the 113.35. It was trading at 113.30, 25 pips below yesterday’s closing price. It continues to consolidate after falling 600 pips during the previous weeks.

Technical levels

To the upside, resistance levels might lie at 113.35 (20-hour moving average), 113.65 (daily high), 113.75 (Aug 8 high)  114.00 (psychological / Aug 1 low) and 114.80 (Aug 2 high). On the other hand, immediate support is seen at 112.95 - 113.00 (Aug 2, 3 & 9 low), 112.45/50 (Aug 4 low) and 112.30 (June 28 low / July 8 high).