EUR/JPY extremely volatile, BOJ decision due any minute

EUR/JPY cross is extremely volatile as volumes are thin. The Bank of Japan (BOJ) rate decision could hit the wires any minute.

Pair dropped to a low of 114.48 earlier today before the offered tone around Yen gathered pace. Bank of Japan (BOJ) is under pressure to deliver; more so because the fiscal stimulus effort involves only about JPY 5 trillion of fresh spending. The fiscal stimulus plan is likely to be approved on August 2.

The cross was last seen trading around 115.50 levels.

Key Technical Levels

Resistance – 117.74 (50-DMA), 120.00 (zero figure)

Support – 115.00, 112.52 (July 7 high)