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- Commerzbank (based on FXStreet)
Pair's Outlook
The EUR/JPY currency pair experienced a relatively strong rally on Wednesday, having touched the first level of the main resistance target. The 122.00 mark remained intact, but risks being retaken today, as the European single currency retained part of its Wednesday's strength. Immediate resistance is now formed by the 20-day SMA, the weekly and the monthly PPs, but a surge towards 122.50 is still possible. Meanwhile, technical indicators are unable to confirm the possibility of the positive outcome, as they are giving bearish signals in the daily timeframe. As a result, a close at 122.15 is the base case scenario, unless bears take over the market completely.
Traders' Sentiment
Today 54% of traders are long the Euro (previously 53%), but the number of sell orders increased from 40 to 57%.
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