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EUR/JPY extend gains and rises above 130.00

FXStreet (Córdoba) - EUR/JPY broke above 129.50 during the European session and it continued to rise on American hours. Recently it reached a fresh 3-week high at 130.09 and it was hovering around 130.00, consolidating a daily gain of around 0.60%.

The euro is rising against the yen for the sixth trading day in a row and is about to post the strongest close since the beginning of the year. It continues to recover after falling last week to 126.16; from there it has risen almost 400 pips.

While USD/JPY remained steady moving in a range during all day, between 118.55 and 119.00, EUR/USD rallied toward 1.0950, hitting the highest level in a week.

EUR/JPY technical levels

To the upside, potential resistance levels might lie at 130.10 (daily high), 130.30 (Nov 27 & 30 high) and 131.05 (Nov 25 high / Dec 18 low). To the downside, support might now be seen at 129.50, 128.75 (Jan 14 & 26 high) and 128.20/25 (Jan 27 low).

USD/JPY key support located at 20 dma

USD/JPY has penetrated the daily 20 sma at 118.13 on the recovery that was made from the lows of 115.96 on the 19th Jan. Since then, the price has been moving within a range as we await the BoJ outcome for the start of the year.
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