EUR/JPY pulls back

The nearest future for EUR/JPY is associated with considerable downside risks, being that it is currently trading in the vicinity of the September highs and the monthly R1. Accordingly, there is a good chance the Euro will slide further from here until the price reaches the rising support line. This up-trend, however, has been safeguarding the long-term bullish outlook on the pair since Jun 13 and should therefore underpin the rate.

Although Euro's and Yen's levels of popularity in the SWFX marketplace are equal, since both of these currencies are acquired in 39% of cases in their crosses, the sentiment towards EUR/USD in particular is strongly bearish—only 36% of positions are long and 64% are short.