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19 May 2014
EUR/JPY: time to go below 139.00 has come
FXStreet (Moscow) - EUR/JPY rebounded from the pivotal support of 139.00 and climbed to 139.25 during quiet Asian hours, but the upside movement was not sustained and the cross dropped marginally below 139.00.
Correction is just around the corner
EUR/JPY ended the second consecutive week in decline, deeply below the pivotal level of 140.00. Shot-term sentiments in the cross turned sour as due to overall EUR selling pressure and heightened JPY demand. This week is rather quiet in terms of macroeconomic events with market moving potential, though there are some European reports that might attract investors’ attention. Particularly, we are waiting for EZ PMI numbers and German IFO data. Today EUR/JPY is sensitive to technical factors. Strong bids located around 139.00 stopped the downside for the time being and triggered profit-taking on short positions from deeply oversold levels, though the upside correction is unlikely to go past 139.40/50 area.
What are today’s key EUR/JPY levels?
Today's central pivot point can be found at 139.09, with support below at 138.27, 138.41 and 138.04, with resistance above at 139.41, 139.78, and 140.09. Hourly Moving Averages are mostly bearish with the 200SMA at 140.36 and the daily 20EMA at 140.71. Hourly RSI is bearish at 49.
Correction is just around the corner
EUR/JPY ended the second consecutive week in decline, deeply below the pivotal level of 140.00. Shot-term sentiments in the cross turned sour as due to overall EUR selling pressure and heightened JPY demand. This week is rather quiet in terms of macroeconomic events with market moving potential, though there are some European reports that might attract investors’ attention. Particularly, we are waiting for EZ PMI numbers and German IFO data. Today EUR/JPY is sensitive to technical factors. Strong bids located around 139.00 stopped the downside for the time being and triggered profit-taking on short positions from deeply oversold levels, though the upside correction is unlikely to go past 139.40/50 area.
What are today’s key EUR/JPY levels?
Today's central pivot point can be found at 139.09, with support below at 138.27, 138.41 and 138.04, with resistance above at 139.41, 139.78, and 140.09. Hourly Moving Averages are mostly bearish with the 200SMA at 140.36 and the daily 20EMA at 140.71. Hourly RSI is bearish at 49.