EUR/JPY eases from 113.60 as Yen remains better bid

The EUR/JPY cross dipped in Asia, reversing a part of strong gains seen over the last two trading sessions, mainly after the US jobs report bettered expectations and lifted 2016 Fed rate hike expectations.

EUR/JPY moves away from 4-day highs

The EUR/JPY pair now trades +0.21% higher at 113.23, easing-off fresh session highs reached at 113.34 last hour. The EUR/JPY cross stalled its two-day advance and fell into losses this Tuesday, largely on the back of rising demand for the yen as risk conditions worsened somewhat amid tumbling oil prices.

While muted trading activity seen around the EUR/USD pair offered little help to EUR/JPY. Markets now await the European open in order to gauge the risk sentiment, in absence of major fundamental drivers in the session ahead.

EUR/JPY Levels to consider  

The pair has an immediate resistance at 114 (psychological levels) and from there to 115.04 (20-DMA). On the flip side, support is seen at 113.15 (5-DMA) below which it could extend losses to towards 112.33 (daily S2).