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18 Feb 2013
Forex: EUR/JPY around 125.00 after digesting Draghi
After its rally to as high as 125.89 in early European session, the EUR/JPY has been finding support for its gains at 1.25.20 zone as it tries to quote around 125.50. The market dived a little on ECB's Draghi speech before the European Parliament, but the cross has already retraced that movement back to 125.50.
He said the central bank's stance is accomodative and that the exchange rate, while not a policy target, it is important for growth and price stability. Eurozone weakness is expected to continue throughout 2013.
The economic calendar is empty for the rest of the trading day, and the US and Canada will not be helping the FX market volume-wise. Tuesday's trading will start off with BoJ meeting minutes and then Japan's leading economic index and coincident index.
Mataf.net analysts point to resistances at 125.90, 126.50 and 126.90. On the downside, supports might be found at 125.10, 124.55 and 123.85.
He said the central bank's stance is accomodative and that the exchange rate, while not a policy target, it is important for growth and price stability. Eurozone weakness is expected to continue throughout 2013.
The economic calendar is empty for the rest of the trading day, and the US and Canada will not be helping the FX market volume-wise. Tuesday's trading will start off with BoJ meeting minutes and then Japan's leading economic index and coincident index.
Mataf.net analysts point to resistances at 125.90, 126.50 and 126.90. On the downside, supports might be found at 125.10, 124.55 and 123.85.