Investing.com - Financial Markets Worldwide

EUR/JPY: No Signal of Reversal

ByActionForex
Published 12/08/2011, 04:45 AM
Updated 03/09/2019, 08:30 AM
EUR/JPY
-
Daily Pivots: (S1) 103.79; (P) 104.15; (R1) 104.54;

No change in EUR/JPY's outlook as it's still staying in tight range below 105.54. Another rise cannot be ruled out with 103.33 minor support intact. But the choppy structure of the recovery from 102.48 suggests it's merely a correction. Hence, even in case of another rise, upside is expected to be limited by 50% retracement of 111.57 to 102.48 at 107.25 and bring fall resumption eventually. Below 103.33 will flip bias back to the downside and send EUR/JPY through 102.48 to retest 100.74 low. However, sustained break of 107.25 fibo level will shift favor to the case that rise from 102.48 is indeed the third leg of the consolidation from 100.74 and would possibly send the cross through 111.57 before completion.

In the bigger picture, there is no signal of reversal yet with EUR/JPY staying below the falling 55 weeks EMA. Down trend from 2008 high of 169.96 is still in progress and should take out 100 psychological level eventually towards 100% projection of 139.21 to 105.42 from 123.31 at 89.52, which is close to 88.96 all time low. Though, sustained break of 55 weeks EMA (now at 111.28) will raise the odd of trend reversal and will turn focus back to 123.31 resistance for confirmation.

eurjpy20111208a1

eurjpy20111208a2

Latest comments

Loading next article…
Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.