EURJPY broke significant resistance at 174 after a long consolidation. The euro gained momentum and reached its three-and-a-half-year high against the US dollar. It hits an intraday high of 174.09 and is currently trading at approximately 174.06. Intraday outlook remains bullish as long as support at 173 holds.
Technical Analysis:
The EUR/JPY pair is trading above 55 EMA, above 200 and 365-H EMA on the 4-hour chart.
- Near-Term Resistance: Around 174.20,a breakout here could lead to targets at 174.38/175/176.
- Immediate Support: At 173, if breached, the pair could fall to 172.50-/171.80/170.80/169.70/169/168.70/168.45/168.
Indicator Analysis 4-hour chart):
- CCI (50): Bullish
- Average Directional Movement Index: Neutral
Overall, the indicators suggest a mixed trend
Trading Recommendation:
It is good to buy on dips around 173.68-70 with stop loss at 173 for a TP of 175.
