Forex: EUR/JPY holding above 118.00

FXstreet.com (Barcelona) - EURJPY is currently trading at 118.03, retracing from session highs at 118.35, and off session lows at 117.69, around same level was doing back in Jan 10. The cross is down -1.71% for the week following yesterday's BoJ meeting, while Nikkei index is also down for third consecutive day, loosing -0.77% for the session so far.

As FXWW founder Sean Lee notes: "EURJPY had some wild moves yesterday, firstly around the BOJ decision and then after a number of totally unfounded and untrue rumours circulated at the start of European trade," the analyst says, adding: "Positive risk sentiment should support the cross but profit taking on existing longs will keep the topside capped for now. Sounds like a perfect recipe for range-trading and I like parameters at 116.50 and 119.00," Sean concludes.

Immediate support to the downside for EURJPY lies at recent session lows 117.69, followed by yesterday's weekly lows post-BoJ at 117.30, and Jan 17 lows at 116.90. To the upside, closest resistance shows at mentioned session highs 118.35, followed by Monday's lows at 118.82, and yesterday's and Jan 13 highs at 120.15.