Snapshot: EUR/JPY trades at 185.75, down 0.04% on the session, as the market consolidates after recent gains. With no fresh catalysts out of either Tokyo or Frankfurt this morning, relative central bank outlooks remain the primary driver of the cross.
- The 186.00 level remains a key resistance, representing the upper end of the recent trading range.
- Watch for any unscheduled BoJ communication signalling intervention if Yen weakness resumes.
Bias into NY: Mildly bullish above 185.50 as the ECB’s easing bias contrasts with the BoJ’s slow normalisation. A break above 186.00 opens a test of higher levels as the carry trade reasserts.