© Dukascopy Bank SA
– based on Daily FX
Pair's Outlook
EUR/JPY opened with a dip on Monday, proving 114.39 to be a hurdle likely to stay unbroken, when the pair dipped to the Monthly Pivot Point, 55-day SMA, 38.20% Brexit plunge Fibo and 20-day SMA cluster, and came to terms with the limited downside potential caused by the combined strength of the support. If bearish momentum allows a close below the aforementioned level, 114.00/09 becomes the next target. European fundamental data releases are bound to induce volatility on Tuesday, suggesting that the pair is as likely to erase losses as it is to dive further. The upper boundary of the multi-month triangle and 50% Brexit Fibo cluster at 115.83 is the target if data comes in strong.
Traders' Sentiment
Sentiment remains bullish with 66% of positions being long (previously 67%). The share of buy orders has increased from 53% to 57%.
© Dukascopy Bank SA