EUR/JPY drops below 139 on Euro weakness

Note: This section contains information in English only.
Source: Dukascopy Bank SA
© Dukascopy Bank SA
"They are not done yet. The euro weakened because the ECB mentioned further measures. It won't stop at just rate cuts."
- UBS AG (based on Bloomberg)

Pair's Outlook
Today we have seen a rather significant weakness in Euro; therefore, the pair dropped below the major level at 139. If the weekly PP at 138.73 holds the Euro from falling lower then the currency could bounce back above the 139 level. Nonetheless, it is possible that pair's bears push the 18-nation currency even lower towards the weekly S1 and major level at 138.10/00. We expect the pair to fluctuate in range between the weekly and monthly PP (from 138.73 to 139.69) as the daily and weekly tecnhicals are neutral.

Traders' Sentiment
The bullish sentiment towards the common currency keeps on falling. As of today 38% of the SWFX market participants expect the Euro to appreciate against the Yen.
© Dukascopy Bank SA

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