EUR/JPY hits fresh weekly highs near 113.80 on German GDP

The EUR/JPY cross keeps the bid tone intact and hovers near fresh weekly tops, as upbeat German GDP figures provide extra legs to the EUR.

EUR/JPY inches closer towards 114 handle

The EUR/JPY pair now trades +0.22% higher at 113.80, flirting with weekly highs posted at 113.83 last minutes. The EUR/JPY cross is gathering pace for a test of 114 handle after the shared currency received fresh impetus from the auspicious German GDP report. Germany’s Q2 GDP q/q came in at +0.4% vs +0.2% expected.

Moreover, fresh buyers seen around the USD/JPY pair amid risk-on sentiment, also underpins the upbeat momentum witnessed in the cross. Next in focus remains the Eurozone flash GDP and industrial production data due later this session. On the US calendar, we have the retail sales, consumer sentiment and PPI data on the cards.

EUR/JPY Levels to consider  

The pair has an immediate resistance at 114 (round number) and from there to 114.44 (20-DMA). On the flip side, support is seen at 113.36 (daily low) below which it could extend losses to towards 112.90 (daily S1).