© Dukascopy Bank
"The BOJ will need to keep its ultraeasy stance in the meantime. If risks from the euro-zone debt crisis heighten, it could move for an additional easing in the near term"
- Norinchukin Research Institute (based on CNBC)Industry outlook
Resistance at 102.55/60 should be able to withstand attempt of EUR/JPY to step over it. Nonetheless, the currency pair has to overcome this resistance to confirm long-term bullish trend. Supports at 100.75 and 100.55 should cover dips.
Traders' sentiment
The share of bulls on EUR/USD has dropped considerably. At the moment they comprise 54% of all the positions on EUR/JPY. Nonetheless, bears are still outnumbered, being 46% of all the traders.
Long position opened
Investors should pay attention to the identified with the help of the standard pivot point method resistance zones, as they might be useful during intraday trading. The initial resistance level is at the level of 102.01, whereas R2 and R3 are situated at 102.50 and 102.80, accordingly.
Short position opened
A part of the brokers will close their short positions near initial support level at 101.22. In case of downtrend continuation, the pair might rebound from the S2 at 100.92 or S3 at 100.43.
© Dukascopy Bank