8 Nov 2013
EUR/JPY hovers around 131.63 area
FXstreet.com (Athens) – The EUR/JPY has been trading at a tight range on Friday’s Asian trading session, after yesterday’s collapse on ECB’s shock rate cut.
EUR/JPY finds supports at the 100-daily SMA near 131.50 zone
The EUR/JPY has been trading mostly sidelines the past hours in late Asian trading session, mostly driven by a decline of 1% in Nikkei index as market participants fretted that Fed could start tapering to roll back the quantitative easing programs earlier than expected after yesterday’s solid US GDP data. The cross is mostly trading sideways on the Friday’s Asian trading session amidst a range bound of 131.50-131.77.
Technical Aspects on the EUR/JPY
The EUR/JPY found solid support at 131.50 where the 100-daily SMA is laying. It might be useful to consider that this area of 131.44 where the Ichimoku base cloud resides till the 131.50 level (100-daily SMA), could be useful to be used as a solid support. Karen Jones Head Technical Analyst of Commerzbank mentions that “EUR/JPY …… We regard the pattern on the market as a potential rising wedge (reversal pattern) and a weekly close below the 132.01 level should be enough to complete the pattern and introduce scope to 122.80.”
EUR/JPY finds supports at the 100-daily SMA near 131.50 zone
The EUR/JPY has been trading mostly sidelines the past hours in late Asian trading session, mostly driven by a decline of 1% in Nikkei index as market participants fretted that Fed could start tapering to roll back the quantitative easing programs earlier than expected after yesterday’s solid US GDP data. The cross is mostly trading sideways on the Friday’s Asian trading session amidst a range bound of 131.50-131.77.
Technical Aspects on the EUR/JPY
The EUR/JPY found solid support at 131.50 where the 100-daily SMA is laying. It might be useful to consider that this area of 131.44 where the Ichimoku base cloud resides till the 131.50 level (100-daily SMA), could be useful to be used as a solid support. Karen Jones Head Technical Analyst of Commerzbank mentions that “EUR/JPY …… We regard the pattern on the market as a potential rising wedge (reversal pattern) and a weekly close below the 132.01 level should be enough to complete the pattern and introduce scope to 122.80.”