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EUR/JPY drops below 128.00

FXStreet (Mumbai) - EUR/JPY printed a session low of 127.78 levels ahead of the European session, as investors fear bond yields could drop to fresh record lows on Greek concerns.

Trades below 10-DMA

The pair trades below its 10-DMA located at 128.02 after having set a high of 128.33 levels. The shared currency came under pressure on the news that overseas bank subsidiaries have been told to exit Greek debt exposure.

Investors also await the Eurozone CPI data for March, which is likely to show price pressures rebounded month-on-month.

EUR/JPY Technical Levels

The immediate resistance is seen at 128.02 (10-DMA), above which gains could be extended to 128.56. On the flip side, support is seen at 127.41 (5-DMA), under which the pair could drop to 126.73.

EUR/USD bounces-off highs near 1.0770

The shared currency trades modestly flat versus the greenback in the European session, with EUR/USD deflating from highs near 1.08 handle, as traders now focus on a flurry of macro data from the Euro zone and the US in the day ahead for further impetus on the main currency pair.
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Euroarea green shoots to support GBP outperformance against EUR – Nomura

FX Strategists at Nomura, believe that green shoots of the euro area economy are influencing international trade and investment flows into and out of the UK, and we judge that the net impact is more likely to be GBP positive.
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