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- Societe Generale (based on FXStreet)
Pair's Outlook
Monday ended with the EUR/JPY cross shifting polarity, ending the day with a 51-pip decline. The given pair is still located within the borders of its consolidation trend, meaning that there are no sophisticated scenarios possible. If bears take over, the overall bottom floor is likely to be the 121.50 level, but the monthly PP at 122.00 is expected to prevent the Euro from falling that low. On the other hand, a positive development is to be capped by the 123.50 mark, with the Bollinger band and the weekly R1 bolstering the resistance. Technical indicators are also in favour of the bullish outcome, but is unlikely to be reached.
Traders' Sentiment
There are 52% traders being short the Euro today (previously 60%), whereas there are only 51% of all pending orders to purchase the Euro, down from 59% on Monday.
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