FxWirePro: EUR/JPY retraces from session highs, hovers around 200-DMA

Chart - Courtesy Trading View 

EUR/JPY was trading 0.26% higher on the day at 130.54 at around 09:40 GMT.

The pair has slipped lower from session highs at 130.90 as markets turn risk-off after Kremlin headline.

A Kremlin spokesperson said on Monday that there were no concrete plans yet for a meeting between Russian President Vladimir Putin and US President Joe Biden, Reuters reported.

On the data front, German manufacturing sector slows its pace of expansion in February, the preliminary manufacturing activity report from IHS/Markit research showed this Monday.

German Manufacturing PMI came in at 58.5 this month, a two-month low vs. 53.0 expected and 52.2 prior. 

Meanwhile, Services PMI rebounds from ten-month lows of 52.2 booked previously to 56.6 in February and as against 53.0 estimated.

Composite Output Index arrived at 56.2 in February vs. 54.3 expected and January’s 53.8.

EUR/JPY closed below 200-DMA on Friday's trade raising scope for further downside. Recovery lacks traction. Daily cloud is strong support, break below will drag the pair lower.