EUR/JPY bounces off 120.12/09

Bearish sentiments of EUR/JPY are currently struggling with the interim support line at 120.12/09 that does not wish to open the door towards the 100-day SMA at 118.95 as it did a month ago. If these levels are unable to prevent further sell-off, then we are likely to see 117.90 and 117.19 coming into play. In the meantime, rallies are to encounter resistance at 121.78 and 122.44.

Relative tranquillity of the exchange rate is reflected in stability of long-to-short ratio in the SWFX marketplace, it stands at 49% to 51% since yesterday. Alternatively, the shares of buy and sell orders are not static—the portion of traders willing to acquire the Euro has dropped down to 76%.