© Dukascopy Bank SA
- Bank of Tokyo-Mitsubishi UFJ Ltd. (based on Bloomberg)
Pair's Outlook
Once EUR/JPY dropped down to the support at 130.07/129.57, a strong rally was triggered. As a result, the price has managed to surpass the resistance at 131.13/130.60 and has nearly touched upon the next one at 131.75/48. Nevertheless, it is likely to be too soon for the pair to move in the direction of the major up-trend, the current correction could possibly drag on, perhaps, to 127.85/41, the rising support line.
Traders' Sentiment
Changes in the traders' sentiment towards EUR/JPY are hardly visible—the share of long positions grew up to 52% from 51%, meaning that the indecision among market participants persists. The distribution between the buy and sell orders, meanwhile, is not as stable—at the moment it is 47% to 53%, but was 62% to 38% yesterday.
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