FXstreet.com (Barcelona) - Asian markets are going through moderate gains on Tuesday as Chinese benchmark index recovers after Monday's selloff. Euro and Pound trade at higher levels.

Japanese Nikkei Index rose 0.5%, while Hong Kong's Hang Seng Index appreciated 0.6% and Chinese Shangai Composite Index rose 0.5% after plunging 6.7% on Monday. Markets in South Korea, Australia and Singapore went up, while Indonesia, Philippines and New Zealand, eased.

Chinese markets have picked up on Tuesday after yesterday's selloff, which triggered a wave of risk aversion with investors concerned about markets having gone too far up after several months of rally.

Euro and Pound trade at higher levels

EUR/USD opened Monday's session on a weak tone, hitting 1.4255 low on European session although the pair bounced during U.S. trading hours, breaking above session high at 1.4315 to reach 1.4365 high before consolidating from 1.4315 to 1.4345. At the moment the Euro is trading right below 1.4360 area.

GBP/USD dropped on Monday from 1.6300 to an intra-day low at 1.6180 to pick up during U.S. trading session, hitting 1.6330 high and consolidate afterwards in a range from 1.6250 to 1.6300. At the moment, the Pound edges higher, reaching levels above 1.6300.

USD/JPY declined on Monday from 93.55 to 92.55 high on Asian session to recover during U.S. session, most of the ground lost and consolidate in a range around 93.00 afterwards.