EUR/JPY retreats to 120.00, still sharply higher

EUR/JPY  is hovering around 120.00, trading 200 pips above yesterday’s closing price. The pair rose sharply during the European session boosted by a weak yen amid the UK referendum. It peaked at 120.88, the highest level since June 10.

Afterward it pulled back and recently reached 119.89, the lowest level of the American session so far. Despite the retreat, it is still headed toward important gains. Volatility is likely to remain high as markets start to wait the results of the referendum.

EUR/JPY levels to watch

To the upside, resistance levels might be located at 120.80/90 (daily high), 121.30 (June 8 low) and 122.20 (May 26 & 27 low). On the opposite direction, support could be seen at 119.45/50 (June 15 high), 118.85 and 117.90 (daily low).