DailyFX.com -

To receive Ilya's analysis directly via email, please SIGN UP HERE

Talking Points:

  • EUR/JPY Technical Strategy: Flat
  • Support: 137.25, 136.11-30, 135.60
  • Resistance:137.80, 138.69, 139.41

The Euro corrected upward against the Japanese Yen as expected after prices put in a bullish Morning Star candlestick pattern. A daily close above resistance at 137.80, the 23.6% Fibonacci retracement, initially exposes the 38.2% level at 138.69. Alternatively, a turn below the 14.6% Fib at 137.25clears the way for a challenge of the 136.11-30 area, intersection of a falling channel floor and the 61.8% Fib expansion.

We are tactically opting not to pursue a long position, choosing not be long the Euro considering the ECB is shaping up to be the most dovish of the major central banks over the coming months. Rather, we will continue to monitor the upswing for opportunities to enter short.

Add these technical levels directly to your charts with our Support/Resistance Wizard app!

EUR/JPY Technical Analysis: Rebound Loses Steam at 138.00

Daily Chart - Created Using FXCM Marketscope 2.0

You May Also Like

COMPANIES IN THIS ARTICLE
Related Forex Analysis
  1. Forex News

    EUR/JPY Technical Analysis: Euro Trims Weekly Open Gap

  2. Forex News

    What are the Traits of Successful Traders?

  3. Forex News

    Webinar: Greek Gaps in Focus- Technical Setups in Play this Week

  4. Forex News

    Opportunities Abound in EUR- and USD-pairs after Greek Referendum

  5. Forex News

    EUR/JPY Technical Analysis: Euro Testing Sub-134.00 Anew

Trading Center
×

You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!