EUR/JPY testing lows post-data, near 123.30

The single currency has taken a hit following German releases, dragging EUR/JPY to fresh session lows in the 123.40/30 band.

EUR/JPY in 3-day lows

The cross is trading multi-day troughs ahead of the opening bell in Euroland on Friday, as the shared currency keeps surrendering gains made earlier in the week. In addition the Japanese Yen trades on a firmer footing, deriving extra support from a softer close of the Nikke225 and despite BoJ rumours of FX intervention.

On the data front, Japanese Tertiary Industry Activity Index has contracted more than estimated 0.7%, while German economy has expanded 0.7% inter-quarer in Q2, bettering forecasts.

EUR/JPY relevant levels

At the moment the cross is down 0.56% at 123.35 and a break below 121.45 (2016 low May 6) would open the door to 118.74 (2013 low Feb.25). On the other hand, the next resistance lines up at 124.68 (55-day sma) followed by 126.35 (100-day sma) and then 126.50 (high Apr.28).