EUR/JPY perfectly mirrors the 55-day SMA

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"We don't expect anything from the ECB but a small minority is looking for a rate cut today and that is parially built into the price." 
- RBC Capital Markets (based on Reuters) 


Pair's Outlook 
Last week EUR/JPY appreciated and perfectly repeated the 55-day SMA movement, but was bounded by the weekly PP resistance at 121.89.  Today the price demonstrates strong bullish momentum and attempts to breach this level. The next resistance is the monthly PP, which lies at 122.44 and is extremely close to the 20- day SMA, currently located at 122.97. 

Traders' Sentiment 
Bulls have an advantage over the bears in SWFX market segmentation, since 52% of positions are long and 48% are short. Placed orders market faced bullish sentiments, as 59% are set for a long positions and 41% for a short one.
© Dukascopy Bank SA

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