Back
11 Sep 2015
EUR/JPY bulls still in good shape above 50 SMA
FXStreet (Guatemala) - EUR/JPY has been better bid as the EUR/USD advances and USD/JPY is breaking up on the 120 handle with the 50 and 200 SMA on the hourly chart cross-over to meet 121.20 resistance.
EUR/JPY is similarly well placed above the same golden cross on the hourly but has met the congestion of the 50 and 200 DMA again where August business struggled through, only to meet strong resistance ahead of the round 140.00 level and failed even before 139.00.
However, the cross is well placed above the 50 DMA at 135.97 at current levels and the tone remains bullish, despite concerns of slower EM growth that could affect the EZ economy and tip the balance in favour of additional QE this year from the ECB. The next policy meeting in Malta is on the 22/10/2015 and will offer further guidance on this matter.
EUR/JPY levels below 136.00
On a bearish outlook, the 136 channel psychological resistance has been accomplished overnight and 136.50/80 is next target. On failures, EUR/JPY's support comes at 135.50, 134.95, 134.44 (200 hourly SMA), 134.03 (50 hourly SMA).
EUR/JPY bulls eye 140.00 target
Should the cross pull off sustained gains and closes this week on the handle, August highs will be next challenge ahead of the round 140 handle.
EUR/JPY is similarly well placed above the same golden cross on the hourly but has met the congestion of the 50 and 200 DMA again where August business struggled through, only to meet strong resistance ahead of the round 140.00 level and failed even before 139.00.
However, the cross is well placed above the 50 DMA at 135.97 at current levels and the tone remains bullish, despite concerns of slower EM growth that could affect the EZ economy and tip the balance in favour of additional QE this year from the ECB. The next policy meeting in Malta is on the 22/10/2015 and will offer further guidance on this matter.
EUR/JPY levels below 136.00
On a bearish outlook, the 136 channel psychological resistance has been accomplished overnight and 136.50/80 is next target. On failures, EUR/JPY's support comes at 135.50, 134.95, 134.44 (200 hourly SMA), 134.03 (50 hourly SMA).
EUR/JPY bulls eye 140.00 target
Should the cross pull off sustained gains and closes this week on the handle, August highs will be next challenge ahead of the round 140 handle.