© Dukascopy Bank SA
– FPG Securities (based on Reuters)
Pair's Outlook
The EUR/JPY currency pair experienced minor volatility on Monday, but closed trade with only a seven-pip loss. The Euro is likely to keep declining against the Japanese Yen until the cluster circa 113.30 is put to the test, formed by the Bollinger band, the weekly and the monthly S1s. Sufficient demand, represented by that cluster, is expected to cause a short-term recovery, with the cross retaking the 114.00 level. However, for the time being the European currency is to continue sliding down with small declines, as technical indicators in the daily timeframe keep suggesting.
Traders' Sentiment
Bulls grew stronger over the past 240 hours, being that 68% of all open positions are now long (previously 61%). Concerning the pending orders, their share increased only 3% points, namely up to 57%.
© Dukascopy Bank SA