EUR/JPY stays bid, looks to 131.34/50 – Commerzbank

The cross stays bid and could attempt visit to the 131.34/50 band, noted Karen Jones, Head of FICC Technical Analysis at Commerzbank.

Key Quotes

“EUR/JPY remains immediately bid, the market has recently eroded it 55 day ma, the 2018 downtrend line and the 130.35 mid June high and risks are on the topside. The DMI now has a buy signal and the market has broken above the daily cloud for the first time since February and this has increased the risk of a break higher. We look for further gains to the 131.34/50 May highs and 55 week ma and the 133.48 April peak”.

“The market stays bid above the 128.30 support line and only below here would negate the topside and re-target the 124.62 May low”.