EUR/JPY slides back under 122.00

Note: This section contains information in English only.
Source: Dukascopy Bank SA
© Dukascopy Bank SA
"The recovery in global inflation could make the ECB's stance more optimistic as political risks decline, and central banks' policy stance is likely to be gradually more positive for EUR/JPY from H2 2017 onwards." 
- Nomura (based on FXStreet) 


Pair's Outlook
Friday ended with the Euro outperforming the Japanese Yen for the third consecutive time, but the 123.00 major level remaining intact. Today the EUR/JPY cross opened on top of a relatively strong support, represented by the 20-day SMA, the weekly and the monthly PPs, which is unlikely to prevent the given pair from declining. As a result, attention turns to the second demand area, namely the cluster around 121.00, formed by the weekly S1, the Bollinger band and the 55-day SMA. However, the 121.50 mark is also expected to provide some psychological support and limit further losses. 

Traders' Sentiment 
There are now 53% of traders with a positive outlook towards the Euro (previously 56%). At the same time, the portion of orders to acquire the single currency edged higher from 42 to 58%.
© Dukascopy Bank SA

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