EUR/JPY drops from the monthly R3

EUR/JPY pair fails to proceed an up-side movement, as today the price reverses and demonstrates bearish sentiments. The appreciation was stopped by the monthly R3 level at 130.87. The pair started to slide immediately and is a halfway towards the monthly R2 level at 128.45, which is the closest support considering a bigger extent depreciation.

Traders continue to cut their bullish positions, as the buy side indicates another 8% reduction with total share only 41%. Recent changes in SWFX market demonstrate increasing expectations to see depreciating Euro versus Yen, a pair which is currently exceeding a three-year high. Pending orders market is skewed to a bullish side, as 70% orders are long.