EUR/JPY Smashed to 8-Day Lows After BOJ’s Fall-Out
The yen continues to hammer its European counterpart in the European
session, as the former remains heavily in demand across the board on
BOJ’s inaction at its today’s meeting.
EUR/JPY erodes last week’s rise
The EUR/JPY pair
now drops -2.61% to 122.92, having struck fresh eight-day lows at
122.68 in the last hour. Somewhat hawkish surprise from the BOJ took JPY
bulls off-guarded, triggering an extensive sell-off in the USD/JPY pair
and therefore, weighing heavily on the yen crosses.
While a
better tone surrounding the EUR/USD pair amid BOJ-induced risk-off
moods, keeps the downside restricted. Moving on, the yen is expected to
remain bid as we progress towards the German CPI and US advance GDP
figures due later today.
EUR/JPY Levels to consider
The
pair has an immediate resistance at 124.72/125 (daily S3/ psychological
levels) and from there to 125.31 (5-DMA). On the flip side, support is
seen at 122.52/50 (Apr 7 Low) below which it could extend losses to
towards 122 (round number).
