EUR/JPY hits fifteen-year high, 164.00 on deck

• The EUR/JPY is trading into its highest bids since 2008, inches away from 164.00.
• A rebound in broad market sentiment is sending safe havens firmly lower on Tuesday.
• Up Next: Japan GDP in early Wednesday session.

The EUR/JPY has hit its highest prices since 2008, a fifteen-year high for the pair as the safe haven Japanese Yen (JPY) falls back against the Euro (EUR). A broad market recovery in risk appetite fueled by a worse-than-expected US Consumer Price Index (CPI) printing is giving investors renewed hopes that inflation could be receding faster than the Federal Reserve (Fed) expects, meaning the US central bank could be pushed towards rate cuts sooner than expected.

Pan-EU Gross Domestic Product (GDP) printed exactly as expected early Tuesday, with the quarter-on-quarter figure coming in at -0.1%. The annualized number printed steady at 0.1%.

The ZEW Economic Sentiment Survey for November improved appreciably, printing at 13.8 against October's 2.3.

The early Wednesday trading session sees Japanese GDP figures, and the QoQ figure is expected to decline from 1.2% to a -0.1% contraction.

EUR/JPY Technical Outlook

The Euro has extended a rally against the Yen, closing in the green for nine of the past eleven consecutive trading days. The EUR/JPY is now set for a challenge of the 164.00 major handle.

The EUR's latest bull run has seen the pair climb further away from the 50-day Simple Moving Average (SMA) currently lifting from the 158.00 handle, while long-term support is coming from the 200-day SMA near 152.00, far below current price action.

EUR/JPY Daily Chart

EUR/JPY Technical Level