EUR/JPY chart - Trading View
EUR/JPY paused 2 days of weakness and was trading 0.36% higher on the day at 129.41 at around 11:10 GMT.
Data published by Eurostat showed on Tuesday that the Gross Domestic Product (GDP) in the euro area contracted by 4.9% on a yearly basis in the fourth quarter.
Euro area Q4 GDP reading came in slightly better than the flash estimate and the market expectation of -5%. On a quarterly basis, the GDP declined by 0.7%.
Other data from the euro area revealed that the Employment Change in the fourth quarter was +0.3% inline with estimates.
Major trend in the pair is bullish and price action is extending gains above 61.8% Fib, outlook is bullish.
Bulls are on track to test 200-month MA resistance at 130.31. Momentum is bullish, volatility is high and rising. Break above 200-month MA will open upside.
Focus on ECB interest rate decision/Press Conference/Economic Projections due Thursday along with EMU’s Industrial Production due Friday for impetus.
EUR appreciation could trigger ECB verbal intervention, which may dent further upside in the pair.
