EUR/JPY surges on risk-appetite

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"If Brexit happens, the market will lose control. The yen will strengthen, stocks will fall and investors will go helter-skelter." 
- Kabu.com Securities Co. (based on Bloomberg) 


Pair's Outlook 
For the second day in a row yesterday the Euro remained relatively unchanged against the Yen. Today the Euro experienced a strong boost, as the EU referendum vote is having effect not only on the Sterling. Riskier assets are on the buy, thus, the EUR/JPY is edging higher today. The only tough resistance is located around 120.20, represented by the monthly S2, the weekly R1 and the 20-day SMA, but risk-appetite could drive the given cross even higher, namely beyond 121.00 major level. At the same time, technical indicators are mixed signals in the daily timeframe, unable to confirm the outlook.  

Traders' Sentiment 
Market sentiment is slightly bullish today, with 56% of all open positions being long. At the same time, there are 57% of all pending orders to purchase the European single currency.
© Dukascopy Bank SA

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