EUR/JPY stuck at monthly R2

Note: This section contains information in English only.
Source: Dukascopy Bank SA
© Dukascopy Bank SA
"Any hints on the possibility of a negative deposit rate are worth watching particularly closely after last week's newswire reports suggested this was an option under consideration - probably a more palatable tool than QE for the Governing Council."
- BNP Paribas (based on Reuters)

Pair's Outlook
Pair failed to consolidate above the monthly R2 and after looking at short term Stochastic we could expect minor dips. However, it does not seem to be willing to give up just yet and overall trend is still likely to remain bullish. Close above the monthly R1 would put 2009 high on the map. Short term dips should find support at weekly PP. Dip below it would put 20-day SMA on the map.

Traders' Sentiment
Bulls are maintaining their pressure on the bears as 53% of pending orders are set to go long on the pair. Talking about bears, share of open positions controlled by them decreased by 3% since yesterday and is at 57% gauge today.

© Dukascopy Bank SA

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