EUR/JPY Technical Analysis – Treading Water Above 140.00
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- EUR/JPY Technical Strategy: Flat
- Support: 140.02 (rising trend line)
- Resistance: 142.22 (falling trend line), 143.46 (50% Fib exp.)
The Euro continues to tread water against the Japanese Yen, with prices oscillating in a narrow range around the 38.2% Fibonacci expansion at 141.75. Near-term resistance is marked by a downward-sloping trend line set from late December (now at 142.22), with a break above that exposing the 50% level at 143.46.Support lines up at a rising trend line in play since mid-February, currently at 140.02.
Risk/reward considerations argue against taking a long position with prices trading in close proximity to relevant resistance. We will remain on the sidelines for the time being, waiting for a more attractive setup to present itself.
Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.