EUR/JPY made fresh 2016 lows this week

By FXStreet EUR/JPY is currently trading at 126.87 with a high of 127.66 and a low of 126.35.

EUR/JPY lost its footing at the turn of the month from the region of the 100 sma on the hourly sticks at 131.79 and has one up day out of nine trading days since. The Yen has been resilient on safe haven flows within the uncertainty and turmoil in the markets with tightening financial conditions.

From the EZ, the Eurozone economy GDP grew by 0.3%QoQ in the fourth quarter, Eurostat’s flash estimate shows, corresponding to 1.5%YoY.”Spain was again the top performer, expanding by 0.8%QoQ. Greece posted another disappointing -0.6%QoQ, showing that the economy still hasn’t recovered from the Grexit panic earlier in the year.

Italy disappointed as well, eking out a meagre 0.1%QoQ, suggesting that what little momentum there was, is already fizzling out again. Finland entered a technical recession, recording a second quarter with (barely) negative growth of -0.1% QoQ. But overall, the Eurozone recovery continued at its modest cruising speed in Q4,” explained Teunis Brosens, analyst at ING Bank.

EUR/JPY levels

Technically, Karen Jones, chief analyst at Commerzbank explained that EUR/JPY sold-off to the 126.17 recent low. “This has been a spike lower and we …read more

Source:: FX Street