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- Societe Generale (based on CNBC)
Pair's Outlook
The support cluster around 136.40 failed to prevent the EUR/JPY from edging lower yesterday. The Euro's volatility to the downside was limited only by the weekly S3 and the lower Bollinger band around 135.40. Today the Wednesday's cluster is providing resistance, forcing the pair to extend its decline. Immediate support is located at 135.71, represented by the monthly pivot point, while a stronger cluster rests around 134.40, which limited the losses yesterday. Meanwhile, technical studies retain their mixed signals, unable to confirm the scenario.
Traders' Sentiment
Bearish market sentiment returned to its Friday's level of 52%, whereas the number of sell orders increased from 54 to 57%.
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