11 Jun 2013
EUR/JPY treading water above 131 ahead of BoJ
FXstreet.com (Barcelona) - With BoJ due today later in the Tokyo session and German court hearings on OMT starting in early London trade, volatility in the EUR/JPY cross is likely to increase in the near term, while it trades last at 131.03, near session and weekly highs at 131.33.
According to CMT and FXTimes Analyst Fan Yang “price has reverted to its 'neutral level' in the 4H time-frame,” Fan says, adding: “It is cracking a projected trendline with a sharp rally, so the bearish outlook recent is neutralized ahead of the BoJ meeting. However, with the RSI still under 60, the momentum has not shifted away from the downside,” he concludes.
Immediate resistance to the upside for EUR/JPY shows at mentioned recent weekly highs 131.33, followed by past Tuesday's/Wednesday's highs at 131.40, and May 31 highs at 132.08. To the downside, closest support lies at Thursday's highs 130.75, followed by June 03 lows at 129.45, and Friday's highs at 129.15.
According to CMT and FXTimes Analyst Fan Yang “price has reverted to its 'neutral level' in the 4H time-frame,” Fan says, adding: “It is cracking a projected trendline with a sharp rally, so the bearish outlook recent is neutralized ahead of the BoJ meeting. However, with the RSI still under 60, the momentum has not shifted away from the downside,” he concludes.
Immediate resistance to the upside for EUR/JPY shows at mentioned recent weekly highs 131.33, followed by past Tuesday's/Wednesday's highs at 131.40, and May 31 highs at 132.08. To the downside, closest support lies at Thursday's highs 130.75, followed by June 03 lows at 129.45, and Friday's highs at 129.15.