We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides Download
EUR/USD
Bullish
GBP/USD
Bearish
USD/JPY
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Bitcoin
Bullish
More View more
Breaking news

Markets Extend Losses, Dow Jones Down Over 14 Percent for the Week

Real Time News
  • Indices Update: As of 19:00, these are your best and worst performers based on the London trading schedule: Germany 30: -0.16% France 40: -0.18% US 500: -2.46% Wall Street: -3.14% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/eN2E5ICK1n
  • France confirms 57 coronavirus cases as of Friday - BBG
  • Worlds largest trade fair cancelled in Berlin due to coronavirus - BBG
  • The $CAD has put in a weak start to 2020 as safe haven assets are in the limelight on fears surrounding #coronavirus. Get your market update from @AustinKarlFX and @FxWestwater here: https://t.co/YutnK6qSRH https://t.co/oOypzw0anQ
  • In addition to the #coronavirus, the #Fed balance sheet fell slightly (-0.31%) this week which typically is downside risk for #SP500. As has been the case since January, there hasn't really been a material uptake which means relatively stagnant liquidity conditions #repos https://t.co/1zMmNihPy3
  • Secretary Pompeo calls for full cooperation between Iran and international health organizations - BBG
  • Join @IG_US and @DailyFX from 7th - 9th March at @TradersExpo, booth number 311 at NY Marriott at the Brooklyn Bridge for three days of forex strategy, fundamental and technical analysis discussions. Register here: https://t.co/LG3Q0En8Uc https://t.co/UKCOLkhTPJ
  • 🇺🇸 USD Baker Hughes U.S. Rig Count (FEB 28), Actual: 790 Expected: N/A Previous: 791 https://www.dailyfx.com/economic-calendar#2020-02-28
  • United Nation's Guterres says rumors and fear are a bigger enemy than the virus $EURUSD
  • Next month's black swan...Fed doesn't cut rates?
EUR/JPY Weekly Technical Outlook: Price Ranges into Resistance

EUR/JPY Weekly Technical Outlook: Price Ranges into Resistance

2019-02-04 19:30:00
Michael Boutros, Technical Strategist
Share:

In this series we scale-back and look at the broader technical picture to gain a bit more perspective on where we are in trend.Euro is up nearly 0.8% against the Japanese Yen since the start of the month with the recent price recovery now testing initial Fibonacci resistance. Here are the key targets & invalidation levels that matter on the EUR/JPYweekly chart.

New to Forex Trading? Get started with this Free Beginners Guide

EUR/JPY Weekly Price Chart

EUR/JPY Price Chart - Euro vs Japanese Yen Weekly

Notes: EUR/JPY rebounded off a critical support confluence early in the year at 123.36 where the 50% retracement of the 2016 advance converges on basic trendline support- (note that price respected this threshold on a weekly close basis). The subsequent recovery is now in its fifth consecutive week with price approaching initial resistance at the 38.2% retracement of the 2018 decline at 125.96.

A breach / weekly close above this threshold is needed to keep the immediate advance viable with such a scenario targeting more significant resistance at 127.4/66 – a region defined by the May low-week close, the 61.8% retracement of the September decline, and the 200-week moving average. Key support rests at 123.36/64look for a break of this key range for guidance heading into February trade with a topside breach ultimately favored.

For a complete breakdown of Michael’s trading strategy, review his Foundations of Technical Analysis series on Building a Trading Strategy

Bottom line: The immediate EUR/JPY recovery may be vulnerable near-term sub-126 but the broader outlook remains constructive while above 123.36. From a trading standpoint, we’ll favor fading weakness while above this support zone targeting a breach of this range. Be on the lookout for downside exhaustion on a pullback to offer more favorable long-entries. I’ll publish an updated EUR.JPY Price Outlook once we get further clarity on the near-term trading levels.

Even the most seasoned traders need a reminder every now and then- Avoid these Mistakes in your trading

EUR/JPY Trader Sentiment

EUR/JPY Trader Sentiment
  • A summary of IG Client Sentiment shows traders are net-short EUR/JPY - the ratio stands at -1.24 (44.6% of traders are long) – bullish reading
  • The percentage of traders net-long is now its lowest since January 15th
  • Long positions are 1.1% lower than yesterday and 11.6% lower from last week
  • Short positions are 5.8% higher than yesterday and 12.6% higher from last week
  • We typically take a contrarian view to crowd sentiment, and the fact traders are net-short suggests EUR/JPY prices may continue to rise. Traders are further net-short than yesterday & last week, and the combination of current positioning and recent changes gives us a stronger EUR/JPY-bullish contrarian trading bias from a sentiment standpoint

See how shifts in EUR/JPY retail positioning are impacting trend- Learn more about sentiment!

---

Relevant EUR/JPY Data Releases

EUR/JPY Economic Calendar

Economic Calendar - latest economic developments and upcoming event risk. Learn more about how we Trade the News in our Free Guide!

Previous Weekly Technical Charts

Learn how to Trade with Confidence in our Free Trading Guide

--- Written by Michael Boutros, Technical Currency Strategist with DailyFX

Follow Michael on Twitter @MBForex

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.