Forex: EUR/JPY closes higher for 5th day in a row

FXstreet.com (Barcelona) - The EUR/JPY closed the day up 15 pips to finish at 132.25. At one point the pair traded as high as 132.76 (highest level since Jan 2010) but was unable to maintain a firm bid at these levels and leaked lower later in the US Session. The German ZEW Index was released earlier in the day, coming in at 36.4 actual vs. 38.3 forecast. It will be another busy day of economic data out of Europe with EUR GDP figures due out at 9:00GMT.

According to Val Bednarik of FXStreet.com, “The EUR/JPY extended the upside towards 132.75 today, although approaches the end of the day barely changed from yesterday’s levels weighted by Euro self weakness. The hourly chart shows indicators turning back south above their midlines, while 100 SMA offers now dynamic support around 131.40 in case of more slides.

She went on to add, “In the 4 hours chart indicators hold in positive territory, although pretty neutral at the time being and pointing no strength. The pair may slowly grind higher on yen weakness, yet as commented on previous updates, range will prevail in the cross of two weak currencies”.