EUR/JPY Technical Analysis – Familiar Range Still in Play
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- EUR/JPY Technical Strategy: Flat
- Support: 138.13-33 (May 21 low, 23.6% Fib exp.), 137.70 (38.2% Fib exp.)
- Resistance: 139.16 (23.6% Fib ret.), 139.79 (38.2% Fib exp.)
The Euro continues to consolidate in familiar territory against the Japanese Yen after finding support above the 138.00 figure. A break above the 23.6% Fib retracement at 139.16 on a daily closing basis exposes the 38.2% level at 139.79.Near-term support remains in the 138.13-33 area, marked by the May 21 low and the 23.6% Fibonacci expansion. A break below that clears the way for a challenge of the 38.2% expansion at 137.70.
Prices are too close to resistance to justify a long position from a risk/reward perspective. On the other hand, the absence of a confirmed bearish reversal signal warns against taking up the short side. Wewill remain flat for now.
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.