Opened in early Europe at Y76.94 and Y97.87 Gapped down at the open in Asia at Y76.87 from Y76.96 NY close as weekend IMF and other EUR negative reports weighed on EUR/JPY. USD traded down to Y76.79 led by cross sales which tripped stops down through Y99.70 to a low of Y97.28 before short covering led a bounce back to Y97.76. The short covering assisted the dollar back up to Y77.01, before settling around Y76.90/00. EUR/JPY remains under pressure with traders now eyeing the Dec 2000 lows of Y96.75 as the next target. USD/JPY traded a very tight European range Y76.80-94 with volumes seen light. The pair opened around Y76.94 and traded flat for the most part, before pressing lower late into the session on EUR/USD demand to Y76.81. EUR/JPY opened at the range bottom and breached Y98 levels on early sovereign demand. Cross consolidated gains and real money demand seen in EUR/USD boosted the pair to intraday highs of Y98.25, later easing to Y98.17. The EUR has traded on a buoyant tone at the start of the working week ahead of the NY open.
EasyForexNews Research Team