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EUR/JPY support at 130.00 on the rescue again

FXstreet.com (Barcelona) - The EUR/JPY foreign exchange cross rate is currently trading at 130.44 near session highs, few minutes away from Japan trade balance data at 23:50 GMT and Tokyo open with Nikkei futures pointing to a slightly higher start.

EUR/JPY bearish tone not changed

“Yen crosses bounced slightly higher following past Asian session Nikkei gains, but not enough to change the bearish tone of the past few days,” said Valeria Bednarik, Chief Analyst at Fxstreet.com, adding: “EUR/JPY hourly chart shows indicators slightly bullish above their midlines, while price stands well below its moving averages and ranges, suggesting not much upward strength at the time being. Renewed selling pressure below 129.80 will likely signal fresh lows ahead while 130.60 stands as the key short term resistance.”

EUR/JPY key technical levels

Bednarik finds support levels at: 129.80, 129.35 and 128.80, while resistance levels at: 130.60, 131.00 and 131.55.

Flash: RBA to keep an eye on capex - Westpac

While there is still very little chance of another rate cut next week, the RBA will be paying close attention to Australia’s capital expenditure data today, notes Sean Callow, FX Strategist at Westpac.
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