EUR/JPY bounces of the weekly R1

Pair extended it's losses further, but found support at the weekly R1 today and returned above the 142 JPY mark. Despite the continuing risk of failure we expect the pair to remain above the 141 JPY for some time, like it happened 2-3 weeks ago. In case of an unexpected failure, next support would be around 140 JPY, where higher quartile of expectations of major market participants is located.

Market sentiment hasn't changed  a bit during the weekend—bears continue to hold slim, 53% against 47%, majority against the bulls. Bulls, however, put the pressure back on the short traders—long pending orders are at 52% to 64% levels.