EUR/JPY forces its way through 130.74

Today's EUR/JPY daily bar opened just below the weekly R1, but the price is already 70 pips above 130.74 and is constantly putting significant pressure on the upper Bollinger band at 131.43. As soon as this level is broken, the next area for the pair to target is a cluster of the monthly R1 and weekly R2. In the longer term perspective, the recovery should be able to continue at least until 133.81 is reached.

It may seem at first that nothing has happened with EUR/JPY, being that the volatility is within the norm. However, the sentiment of the SWFX market has experienced a major shift—the share of bullish market participants plummeted to 27%, allowing bears to take the majority—73%.