FxWirePro: EUR/JPY nose-dives over 2.50%, euro battered as Credit Suisse woes renewed worries about European banking sector

Chart - Courtesy Trading View 

EUR/JPY was trading 2.61% lower on the day at 140.29 at around 13:40 GMT, recovering slightly from session lows at 139.48.

The single currency was dumped on Wednesday after Credit Suisse's woes renewed worries about the European banking sector.

U.S.-listed shares in Credit Suisse Group hit fresh fresh record low after its top stakeholder, Saudi National Bank, ruled out offering more assistance.

The Credit Suisse fall caused a wider banking sell-off and trading had to be temporarily halted during the morning due to the steep losses.

On the data front, Eurozone Industrial Production saw an upturn in January, suggesting that the manufacturing sector recovery is gaining traction.

Official data released by the Eurostats on Wednesday showed Eurozone’s Industrial Output jumped by 0.7% MoM vs. a 0.4% expected and -1.3% prior.

On an annualized basis, the Industrial Production arrived at 0.9% in January versus a -2.0% figure registered in December and 0.2% estimates.

Support levels - 139.53 (55-week EMA), 139.45 (Channel base)

Resistance levels - 140.75 (Cloud base), 141.77 (200-DMA)

Summary: EUR/JPY retrace below 200-DMA and daily cloud has changed near-term dynamics. Symmetric Triangle base offers immediate support, break below will drag the pair lower.