EUR/JPY advances, but fails to rise above 136

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"The market clearly doesn't think that the June 5 deadline really is a deadline [for the Greek deal], and I think we're drifting further in that direction. So that's diminishing the risk premium in the euro." 
- RBC Capital Markets (based on CNBC) 


Pair's Outlook 
The Euro outperformed the Yen for the second day and even managed to penetrate the barrier around 134.65. The 135 psychological level provided sufficient resistance and forced the EUR/JPY cross to close trade at 134.82. The previous resistance cluster now provides solid support, and the pair is likely to rally again today. Immediate resistance now rests at the 136 level, which is also bolstered by the weekly R1. However, the single currency will manage to reach that high today, as technical studies remain mixed. 

Traders' Sentiment 
Bullish market sentiment remains unchanged, as still 52% of all positions are long. Meanwhile, the number of commands to acquire the Euro increased from 33 to 48%.
© Dukascopy Bank SA

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