EUR/JPY hammered through 133 handle – at fresh 5-month lows

By FXStreet FXStreet (Mumbai) – The Japanese yen continues to batter the shared currency in the mid-Asian trades, knocking-off EUR/JPY to fresh multi-month lows sub 133 – key levels.

Yen benefits as risk-off seen as ‘new-normal’

Currently, the EUR/JPY pair trades -0.55% lower at fresh five-month lows of 132.80, unable to resist 133.50 levels. The EUR/JPY cross dives deeper in the red solely on the back of a broadly stronger yen as the traders flocked to safety assets on a renewed risk-aversion wave that hit Asia translating into lower equities on the Asian bourses.

Adding further to the persisting risk-off market profile, Hong Kong reported worst PMI reading since 2009, coming in at 44.4 versus 48.2 previous. While investors favoured less risky assets ahead of tonight’s US non-farm payrolls report.

Forecasters are anticipating non-farm payrolls to have risen by 217,000 last month in the US, up marginally from the 215,000 increase in July.

EUR/JPY Technical Levels

To the upside, the next resistance is located at 133.68 (Today’s High) levels and above which it could extend gains 135 levels. To the downside immediate support might be located at 131.95 (Feb Low) below that at 130.89 (Jan Low) levels.
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Source:: FX Street