EUR/JPY has ticked lower in early..........>

EURO-YEN: EUR/JPY has ticked lower in early Asia-Pacific dealing and trades at

Y127.73. 

- The pair has been primarily driven by underlying risk sentiment. EUR

underperformed against most majors in Thursday's session post-ECB rate decision,

despite Draghi revealing little new clues/policy developments in the press

conference, as he reiterated that risks to the economy are "broadly balanced,"

while presenting Italy as a downside risk. 

- JPY benefitted from risk-off sentiment early Thurs, then weakened as risk

sentiment recovered, before garnering a modest bid after the U.S. cash equity

close as U.S. index futures fell on the back of Amazon & Alphabet earnings. 

- EUR/JPY bulls need to retake the 38.2% retracement from 2012 lows to 2014

highs & current resistance at Y128.52 to regain control before challenging the

100-DMA at Y129.50. Bears keep an eye on Thursday's Asia session lows at Y127.50

before targeting the Y124.91 Aug 15 low. 

- Focus today includes BoJ Rinban operations covering 1-10 Yr paper as well as

Italy's sovereign debt being rated by S&P.