A long tail on candlesticks suggests EUR/JPY found buying pressure at lows which saw the pair bounce back from 130.64 levels on Monday
- The pair stays above the 131 handle, currently trades at 131.43, with immediate resistance at 131.80 (Session High Nov 17) and support at 130.66 (Daily Low Nov 16)
- Germany Nov Zew economic sentiment increased to 10.4 (forecast 6.0 ) vs previous 1.9, but European Monetary Union ZEW Survey Economic Sentiment came in below expectations at 28.3 (forecast 35.2)
- The shared currency was little changed on ZEW data, technicals point higher for the pair, another oversold bullish divergence has registered with today's new price low v/s a higher RSI low
We recommend buying dips around 131.30, SL: 130.60, TP: 132.40
Resistance Levels:
R1: 131.80 (Session High Nov 17)
R2: 131.93 (Tenkan-Sen)
R3: 132.00 (Psychological Level)
Support Levels:
S1: 130.66 (Daily Low Nov 16)
S2: 130.28 (Daily Low Apr 29)
S3: 130.00 (Psychological Level)
