EUR/JPY meets fresh supply near 113.50, PMIs eyed

The cross in the EUR/JPY is seen trimming gains, although remains in the positive territory on Friday, on the back of a recovery in the USD/JPY pair.

EUR/JPY recedes towards 5-DMA

The EUR/JPY pair rises +0.27% to 113.22, deflating from session highs previously posted at 113.44. EUR/JPY remains strongly bid on the back of extension of the broad based corrective slide in the yen, following disappointing BOJ and FOMC decisions inspired strong gains.

However, the latest leg lower in the cross can be mainly attributed to some fresh selling seen in the EUR/USD pair, as the USD recovery against most rivals picks-up pace.

Looking ahead, the cross is likely to get influenced by a series of flash manufacturing and services PMI reports from the Euro area economies due later in the European session.

EUR/JPY Levels to consider  

The pair has an immediate resistance at 113.61 (daily R1) and from there to 113.91 (10-DMA) and 114.58 (20-DMA) next. On the flip side, next supports are seen at 113.00 (round figure) and 112.50 (psychological levels) below which it could extend losses to towards 112.02 (post-FOMC low).