EUR/JPY hits 1-week lows

FXStreet (Córdoba) - The EUR/JPY came under renewed pressure Wednesday and extended its correction from the 142.00 zone as the yen strengthened amid cautious markets.

Ahead of the European Central Bank decision tomorrow and with Ukraine worries lingering, the yen remains favored against the euro. A strong drop in Germany factory orders for March (-2.8% vs 0.3% expected) dragged the pair below the 100-day SMA to a 1-week low of 141.14 in recent dealings. At time of writing, the EUR/JPY is trading at 141.25, 0.25% below its opening price, having fallen more than 120 pips since peaking at 142.37 last Friday.

EUR/JPY levels to watch

As for technical levels, immediate supports are seen at 141.14/11 (May 7 and Apr 30 lows), and 140.98 (Apr 28 low). On the other hand, resistances could be found at 141.73 (May 7 high), 142.08 (May 6 high) and 142.37 (May 2 high).

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