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Bounce Could Gather Steam on Break of Key EUR/JPY, USD/JPY Levels

JPY
  • Post-US data step lower for yields is pressuring USD/JPY (with ECB-inspired EUR/JPY sales also aiding the move) - but pair is yet to test yesterday's mid-week lows of 146.66. This level could raise further interest should EUR/JPY remain weak, given the cross has now printed four sessions of lower lows, and pierced support at 159.82.
  • Upside pressure on JPY could build should this level be cleanly broken, bringing more notable support at the 50-dma into play (last broken below here in mid-November last year. Positive open for US equities in five minutes could also play a factor.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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