© Dukascopy Bank
"The major euro zone countries are all now contracting and face the risk of recession"
- Markit (based on CNBC)
пЃ® Industry outlook
Euro - Japanese Yen currency pair is testing 104.90 level, although current bullish momentum is expected to fade soon enough, which in turn will trigger a sell of down to the initial support at 102.70/48. Key resistance is at 106.80.
пЃ® Traders' sentiment
EUR/JPY has unexpectedly turned bullish, as now the majority, namely 61.99% of market participants, is holding long positions, while 38.01% of traders keep staying short on the currency pair, since the Japanese Yen is the second least attractive currency among its major counterparts.
пЃ® Long position opened
The price might rebound from the first resistance level at 104.83, so major dealers are planning to close some of their long positions near this level. Subsequent goals for bulls are 105.41 and 105.82.
пЃ® Short position opened
Largest investors might have placed their take profit orders at the key support levels. These levels for intraday trading are situated at 103.84, 103.43 and 102.85.
© Dukascopy Bank