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18 Jun 2013
EUR/JPY hits daily high
FXstreet.com (London) - EUR/JPY has continued to print higher highs on the way up to test the resistance level of 127.90.
The pair had achieved some early session gains as the EUR continues to outperform across the majors and may continue to do so depending on the outcome of tomorrow’s FOMC. However, to reiterate from this mornings commentary, and acknowledging the broader trend, risks could still remain to the downside.
EUR/JPY capping
Depending on the outcome of the FOMC and feedback to the trading desks, the dollar could become dominant once again, and that would likely see EUR/JPY retract the bounce. Karen Jones, Analyst at Commerzbank stated that 124.45 is still considered by her to be the break down point to 118.82/65, the February and April lows and the 38.2% retracement of the same move. She can see minor resistance around the 127.71, in the vicinity of where the pair has been held up currently and around February’s peak. She explains that immediate downside pressure will be maintained while EUR/JPY stays below the 131.30 June 11 high.
The pair had achieved some early session gains as the EUR continues to outperform across the majors and may continue to do so depending on the outcome of tomorrow’s FOMC. However, to reiterate from this mornings commentary, and acknowledging the broader trend, risks could still remain to the downside.
EUR/JPY capping
Depending on the outcome of the FOMC and feedback to the trading desks, the dollar could become dominant once again, and that would likely see EUR/JPY retract the bounce. Karen Jones, Analyst at Commerzbank stated that 124.45 is still considered by her to be the break down point to 118.82/65, the February and April lows and the 38.2% retracement of the same move. She can see minor resistance around the 127.71, in the vicinity of where the pair has been held up currently and around February’s peak. She explains that immediate downside pressure will be maintained while EUR/JPY stays below the 131.30 June 11 high.