FXstreet.com (Barcelona) - Asian markets are going through moderate advances on Friday, although weaker than expected Japanese machinery orders have dampened risk appetite. In Forex Markets, Euro and Pound have retreated from Thursday's highs.

Japanese Nikkei Index has risen 1.3%, while Hong Kong's Hang Seng Index edges up 0.1%, and South Korean Kospi Index soared 1.7% after the Central Bank left interest rates unchanged at their lowest levels ever.

In the macroeconomic front, Japanese core machinery orders, a gauge observed to assess trends on corporate spending, have advanced 0.5% in August, far below the 2.3% advanced expected by the markets.

Euro and Pound retreat from resistance levels

EUR/USD rally from 1.4650 low on Wednesday reached prices right above 1.4800 on Thursday, the highest levels in the last two weeks, but the Euro could not hold those levels and has retreated during Asian session to 1.4705 low. At the moment of writing, the Euro trades at 1.4725; 0.45% below its day opening level.

GBP/USD rallied from 1.5855 low on Wednesday to intra-week high at 1.6120 on Thursday but the pair, rejected at those levels retreated to prices right above 1.6000 at the moment of writing. On a longer perspective, the Pound remains consolidating in a range from 1.5815 to 1.6100 for the last two weeks after its decline from 1.6465, (Sept 23 high).

USD/JPY remains trading in a range above 88.10 support level. The Dollar fell on Thursday from 89.40 high to 88.15 and picked up during Asian session to reach prices around 89.15 at the moment of writing.