17 Aug 2015
EUR/JPY: Bulls looking for 138.30 - FXStreet
FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet explained that EUR/JPY retreated from a fresh 2-month high of 138.85, albeit holds above its former highs and the weekly 100 SMA around 137.80, level that contained the upside since late May.
Key Quotes:
"The Japanese yen has remained quite neutral on Chinese news, confined to a tight range against the greenback, and the EUR/JPY will likely continue depending on EUR strength/weakness."
"According to the 4 hours chart however, the pair can extend its decline below it pretty fast at the beginning of a new week, as the technical indicators turned sharply lower, with the RSI now heading lower around 45, steadily falling from overbought levels, whilst the Momentum indicator also reflects a strong downward potential."
"Should the pair accelerate through the mentioned support, the slide can extend with little in the way down to 137.20. A recovery above 138.30 on the other hand, should see some additional EUR demand, and a retest of the mentioned highs."
Key Quotes:
"The Japanese yen has remained quite neutral on Chinese news, confined to a tight range against the greenback, and the EUR/JPY will likely continue depending on EUR strength/weakness."
"According to the 4 hours chart however, the pair can extend its decline below it pretty fast at the beginning of a new week, as the technical indicators turned sharply lower, with the RSI now heading lower around 45, steadily falling from overbought levels, whilst the Momentum indicator also reflects a strong downward potential."
"Should the pair accelerate through the mentioned support, the slide can extend with little in the way down to 137.20. A recovery above 138.30 on the other hand, should see some additional EUR demand, and a retest of the mentioned highs."