EUR/JPY drops as sentiment turns cautious

By FXStreet The EUR/JPY is trading weaker in early Europe for the sixth consecutive session as investors turned cautious on account of the oil price drop.

Trades below 124.00

The cross fell below 124.00 levels; the lowest since April 2013. The safe haven Japanese Yen strengthened on account of the 0.37% drop in Nikkei. Meanwhile, the common currency is struggling to extend gains despite the risk off mood gains as Brexit fears keep bulls at bay.

The investors now await the German GDP figure, which will be followed by IFO readings. In the meantime, action in the European stocks could influence the cross as well.

meantime, action in the European stocks could influence the cross as well.

EUR/JPY Technical Levels

The immediate resistance is seen at 124.00, above which the cross could re-test 124.92 (hourly 50-MA). On the other hand, a breakdown of 123.69 (daily low) would open doors for a drop to 123.00 levels.
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Source:: FX Street