EUR/JPY Forex Technical Analysis for June 20, 2016
Forex Technical Analysis – The EUR/JPY pair fell slightly during the course of the day on Friday as we continue to grind lower overall. We had a significant bounce during the day on Thursday, but the 115 level offering support also suggests that we will attempt that level several times and with this being the case if we can get an exhaustive candle on a short-term chart, I’m willing to sell yet again. I have no interest whatsoever in buying this market, looks as if it is very negative, and should continue to be very bearish over the longer term.
In Other View Point – EURJPY – Bullish Cypher
Price Failed to make a positive test and closing above previous structure level on EURJPY 1H. By doing this price is setting a potential Bullish Cypher Formation – this will be nice counter trend trading opportunity. Entry @ 116.28 Stop @ 115.03 Initial Target 1 @ 117.37 Initial target 2 @ 118.05 Good Luck!
In Other View Point – EUR/JPY jumps nearly +1.50% as Bremain back in front
The cross in the EUR/JPY staged a solid rebound in the Asian trades this Monday, bolstered by a better risk environment in response to the latest polls that put Remain vote back in the front.
EUR/JPY eyes pre-BOJ highs
The EUR/JPY pair rallies +1.29% to 119, reversing towards pre-BOJ levels. The bulls remain in complete control as persistent risk-on sentiment favours on vote-favouring Bremain, continue to underpin the bids for the euro and therefore, drives EUR/JPY higher.
Further, the risk-on rally across the financial markets diminishes the safe-haven appeal of the yen and thus, aiding the robust recovery in the cross. Meanwhile, markets await the German PPI data due out shortly for fresh impetus amid a data-quiet EUR calendar ahead.
EUR/JPY Levels to consider
The pair has an immediate resistance at 119.47 (pre-BOJ highs) and from there to 120 (round number). On the flip side, support is seen at 118.30/21 (5-DMA/ Daily low) below which it could extend losses to towards 117.50.