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18 Apr 2013
Forex: EUR/JPY makes quick +100 pip bounce to 128.66
FXstreet.com (Barcelona) - A volatility shock was felt in the FX market, affecting most pairs, including the EUR/JPY as it erased its losses and dropped below the 128.00 to print a session low at 127.58, but quickly bounced back up and jumped to 128.66, as of writing.
The G20 meeting is taking place, with central bankers and finance ministers focused on talks about central bank stimulus and fiscal targets. IMF’s Lagarde has been making remarks about the subject, saying the ECB is only one with some room left for monetary policy and that the BoJ has clearly innovated. The rumor that a French bank was in trouble was about Societe General, which shares plunged by 6% on talks of big loses. After being denied by a representative, the market became calmer and retraced the move partially.
UBS analysts are bullish: “Initial resistance is at 129.74, a break above would open 132.05 ahead of 134.38”, wrote analyst Gareth Berry, pointing to support at 126.44 ahead of 124.94.
The G20 meeting is taking place, with central bankers and finance ministers focused on talks about central bank stimulus and fiscal targets. IMF’s Lagarde has been making remarks about the subject, saying the ECB is only one with some room left for monetary policy and that the BoJ has clearly innovated. The rumor that a French bank was in trouble was about Societe General, which shares plunged by 6% on talks of big loses. After being denied by a representative, the market became calmer and retraced the move partially.
UBS analysts are bullish: “Initial resistance is at 129.74, a break above would open 132.05 ahead of 134.38”, wrote analyst Gareth Berry, pointing to support at 126.44 ahead of 124.94.