EUR/JPY retakes 129.00 amid positive action in the Asian stocks

• EUR/JPY moved above 129.00 a few minutes before press time, having charted a lower high around 130.00 last week.
• The pair is mildly bid amid gains in the Asian stocks.
• Looming Italy crisis could cap gains in the common currency.

The EUR/JPY is currently reporting marginal gains above 129.12, having clocked a low of 128.77 earlier today.

The recovery from the session lows is likely associated with the gains in the Asian equities. For instance, the Shanghai Composite index is up 0.4 percent. Japan's Nikkei and Hong Kong's Hang Seng are also flashing green. Meanwhile, stocks in New Zealand, South Korea are reporting moderate losses.

The common currency may have also picked up a bid on reports that Italy is considering trimming its growth forecasts to secure a budget deal with the European Union (EU).  

The gains in the EUR/JPY, however, could be short-lived if the spread between Italy and German bond yields spikes courtesy of a standoff between Rome and Brussels. The troubled nation has until Tuesday to submit a revised budget draft to the EU.

EUR/JPY Technical Levels