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8 Jan 2015
EUR/JPY: Short term picture favours downside - FXStreet
FXStreet (Bali) - The short term technical picture in EUR/JPY continues to favor the downside, notes Valeria Bednarik, Chief Analyst at FXStreet.
Key Quotes
"The EUR/JPY cross trades little changed on the day, still restricted to a tight range around the 141.00 level, amid even weakness of both EUR and JPY against their American rival."
"The short term technical picture however continues to favor the downside, as the 1 hour chart shows that indicators head lower below their midlines, whilst 100 and 200 SMAs present strong bearish slopes well above the current price."
"In the 4 hours chart RSI has corrected extreme oversold readings now around 35, while momentum aims higher, approaching the 100 level. But an early rally was rejected around 141.80 static resistance, and it will take some follow through above the 142.00 to ease the bearish pressure in the pair."
Key Quotes
"The EUR/JPY cross trades little changed on the day, still restricted to a tight range around the 141.00 level, amid even weakness of both EUR and JPY against their American rival."
"The short term technical picture however continues to favor the downside, as the 1 hour chart shows that indicators head lower below their midlines, whilst 100 and 200 SMAs present strong bearish slopes well above the current price."
"In the 4 hours chart RSI has corrected extreme oversold readings now around 35, while momentum aims higher, approaching the 100 level. But an early rally was rejected around 141.80 static resistance, and it will take some follow through above the 142.00 to ease the bearish pressure in the pair."