EUR/JPY brief retracement likely

Note: This section contains information in English only.
Source: Dukascopy Bank SA

 Positions Today Yesterday Change
 Longs 54% 51% 5.6%
 Shorts 46% 49% -6.5%
       
 Indicator 4H 1D 1W
 MACD(12;26;9) Buy Sell Sell
 RSI(14) Neutral Neutral Neutral
 Stochastic(5;3;3) Sell Neutral Neutral
 Alligator(13;8;5) Buy Neutral Sell
 SAR(0.02;0.2) Buy Sell Sell
 Aggregate

Downside sentiment dominated the Euro against the US Dollar on Tuesday. A breakout through the lower boundary of an ascending channel occurred at the end of yesterday's trading session.

Most likely, it is expected that the currency pair maintains the downward momentum today. However, buyers could push the price towards a resistance level formed by the weekly R1 at 126.03 within this session.

If the resistance line as mentioned above holds, a potential downside reversal is likely to occur.

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