EUR/JPY faces 120.40

The currency pair is gradually slowing down ahead of 120.40, somewhat losing its bullish momentum following a breach of 117.90/39. This area, which is now supporting the price, is supposed to end the bearish correction that is emerging at the moment. A deeper extension, however, is still possible and could drag EUR/JPY down to 115.44/114.90, a most likely point of contact with the rising trend-line in such a scenario.

SWFX traders' sentiment has stabilised towards EUR/JPY with 29% of market participants being in favour of a stronger Euro and 71% in favour of a stronger Japanese Yen, which is one of the most preferred currencies among its peers (acquired in 67% of cases on average). Conversely, the amount of buy orders (69%) substantially exceeds the amount of sell orders (31%).