EUR/JPY Technical Analysis: Fighting Resistance Below 137.00
To receive Ilya's analysis directly via email, please SIGN UP HERE
- EUR/JPY Technical Strategy: Flat
- Support: 136.53, 135.80, 135.16
- Resistance: 136.84, 137.67, 138.51
The Euro advanced as expected against the Japanese Yen after prices produced a bullish Piercing Line candlestick pattern. A daily close above the 38.2% Fibonacci retracement at 136.84 exposes the 50% level at 137.67. Alternatively, a reversal below channel top resistance-turned-support at 136.53 opens the door for a challenge of the 23.6% Fib at 135.80.
Prices are too close to resistance to justify entering long from a risk/reward perspective. On the other hand, the absence of a defined bearish reversal signal suggests taking up the short side is premature. With that in mind we will remain flat for now.
Add these technical levels directly to your charts with our Support/Resistance Wizard app!
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.