The Japanese Yen remained in heavy demand over the past few weeks because of ongoing tensions between China and the US. Later, the issue of Syria came in to fuel this demand. As we know, the BOJ doesn’t like a stronger Yen, as it hurts Japanese exporters. So, anytime we see it growing stronger, we can expect an intervention by BOJ officials.

Having said this, the BOJ’s deputy governor Masazumi Wakatabe dented the Yen by signaling that the ultra-easy policy needs to tighten inflation.

Both of the Japanese crosses, GBP/JPY and EUR/JPY, are trading bullish due to a strengthening Sterling and Euro, while the recent weakness in Yen is supporting the bullishness. Let’s take a look at weekly support and resistance lines for these pairs.

EUR/JPY – Major Trading Levels

Support     Resistance

131.44    132.84

131.02    133.26

130.32    133.96

Key Trading Level:    132.14

GBP/JPY – Major Trading Levels

Support     Resistance

151.12    153.7

150.31    154.51

149.02    155.8

Key Trading Level:    152.41