EUR/JPY analysis: EUR demand backs further gains

Valeria Bednarik FXStreet

EUR/JPY Current price: 124.84

After suffering some strong intraday swings, the EUR/JPY pair settled marginally higher at 124.85, underpinned by continued EUR's demand. The pair has now posted its third consecutive higher high daily basis, after the knee-jerk suffered last Thursday on the back of relief. The Japanese yen remains subdued amid the positive tone in equities, with Wall Street further recovering ground at the beginning of the week and the DJIA posting a three-digit intraday advance. Yields, however, remain subdued, with the 10-year note benchmark at 2.25% from previous 2.24%, barely supporting losses in the safe haven currency. Still below the multi-month high posted last week at 125.80, the 4 hours chart shows that the price holds above a bullish 100 SMA, but also that technical indicators are turning north within positive territory, limiting the upside potential for this Tuesday. The pair topped at 125.30 daily basis, the level to surpass to see it extending up to the mentioned 125.80 level.

Support levels: 124.00 123.60 123.20

Resistance levels: 124.90 125.40 125.80

View Live Chart for the EUR/JPY

Author

Valeria Bednarik

FXStreet

Valeria Bednarik was born and lives in Buenos Aires, Argentina. Her passion for math and numbers pushed her into studying economics in her younger years.

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