- EUR/JPY edges higher from session lows at 120.85, has reclaimed 50-DMA at 121.
- Daily cloud offers stiff resistance on the upside, intraday bias remains lower.
- RSI nicely converging with price action, bearish invalidation only on close above daily cloud.
- Stochs are biased lower after rollover from overbought zone and MACD is on the verge of a bearish crossover on signal line.
- Pair is on track to test 100-DMA at 120.45, violation there could see further downside upto 120 levels.
Support levels - 121 (50-DMA), 120.56 (50% Fib retrace of 118.23 to 122.88 rally), 120.45 (100-DMA)
Resistance levels - 121.40 (cloud top), 121.53 (5-DMA), 122, 122.42 (Jan 13 high)
TIME TREND INDEX OB/OS INDEX
1H Bullish Neutral
4H Neutral Neutral
1D Bearish Neutral
1W Neutral Neutral
Recommendation: Good to go short on rallies around 121.35/40, SL: 122, TP: 121/ 120.60/ 120.45/ 120
FxWirePro Currency Strength Index: FxWirePro's Hourly EUR Spot Index was at 0.312492(Neutral), while Hourly JPY Spot Index was at 9.37847 (Neutral) at 0650 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
