EUR/JPY Technical Analysis: Euro Moves to Six-Year High
To receive Ilya's analysis directly via email, please SIGN UP HERE
- EUR/JPY Technical Strategy: Flat
- Support: 145.93, 144.46, 143.55
- Resistance: 147.12, 148.31, 149.78
The Euro advanced to a six-year high against the Japanese Yen but prices may be at risk of reversal as negative RSI divergence points to fading upside momentum. Near-term support is at 145.93, the 38.2% Fibonacci expansion, with a break below that on a daily closing basis exposing the 23.6% level at 144.46. Alternatively, a push above the 50% Fib at 147.12 clears the way for a test of the 61.8% threshold at 148.31.
The mere presence of RSI divergence is insufficient to identify reversal without added confirmation. As such, we will continue to stand aside for now and wait for a more compelling setup to present itself before committing to a position.
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.