EUR/JPY inches higher above 113.50, focus shifts to Yellen

The

cross caught a fresh bid-wave and finally ended the ongoing range, breaking further beyond 113.50, in response to upbeat German data.

EUR/JPY: Yellen eyed

The EUR/JPY pair now trades +0.10% higher at fresh three-day highs of 113.57, heading for a test of 114 handle. The EUR/JPY cross jumped higher, as the European trader hit their desks and reacted positively to the latest German economic release, which bettered expectations. The German GFK consumer sentiment for September rose to 10.2 versus 9.9 expectations

While on the JPY-side of the equation, the USD/JPY pair trades comatose around 100.40 levels, providing little impetus to the cross, as markets await the US GDP numbers and Yellen’s speech for fresh moves in the USD, which will eventually impact both the EUR and JPY.

EUR/JPY Levels to consider  

The pair has an immediate resistance at 114 (round number) and from there to 114.82 (Aug 2 high). On the flip side, support is seen at 113.08 (daily S1) below which it could extend losses to towards 112.59 (Aug 18 low).