20 Aug 2013
EUR/JPY maintains gains; edging above 130.50
FXstreet.com (Chicago) - EUR/JPY has resisted a series of bearish declines as indicated by the price action of three consecutive declines, forming a three wave climb. The pair touched bottom at 129.29 to bounce off stronger and sum up 0.33% daily gains.
Factual improvements?
In Europe, the construction output (MoM) for June improved compared to the previous reading to reach -3.0% vs. expected -3.8%. In Japan, the yen weakened tracking the Nikkei 225 which closed down -2.63%. Overall, the euro has strengthened across the board topping major currency gainers.
Altius, Citius, Fortius?
The most recent price drop was a short-lived retracement from 130.60 zone supported by immediate grounds at 130.42 (July 11th highs). At 130.51, the price oscillates ahead of other supports at 130.13 (July 4th highs) and 129.90 (July 31st lows) and below resistances at 130.74 (August 6th highs), 131.00 (August 18th highs) followed by 131.28 (July 17th lows). According to the FXstreet.com trend index, the pair is slightly bullish on one-hour timeframe analysis, trading above the EMA20.
Factual improvements?
In Europe, the construction output (MoM) for June improved compared to the previous reading to reach -3.0% vs. expected -3.8%. In Japan, the yen weakened tracking the Nikkei 225 which closed down -2.63%. Overall, the euro has strengthened across the board topping major currency gainers.
Altius, Citius, Fortius?
The most recent price drop was a short-lived retracement from 130.60 zone supported by immediate grounds at 130.42 (July 11th highs). At 130.51, the price oscillates ahead of other supports at 130.13 (July 4th highs) and 129.90 (July 31st lows) and below resistances at 130.74 (August 6th highs), 131.00 (August 18th highs) followed by 131.28 (July 17th lows). According to the FXstreet.com trend index, the pair is slightly bullish on one-hour timeframe analysis, trading above the EMA20.