EUR/JPY charges at 137

The falling resistance line, which has kept EUR/JPY bearish since Sep 19, was breached yesterday. However, this may not result in continuation of the up-move, being that the 38.2% Fibonacci retracement at 136.85 is still intact and may stop the advancement. But if the buying persists, the next concentration of supply to look out for is at 137.60. There the moving averages for 55 and 100 days merge with the 50% Fibo level.

A majority of traders, namely 58% of them, believe EUR/JPY has already reached the bottom, as they are holding long positions. Meanwhile, the share of sell orders 100 pips from the spot contracted from 57 to 49%.