|

EUR/JPY analysis: lower low favors additional yen's gains

EUR/JPY Current price: 121.00

The EUR/JPY closed the day with modest losses, led by EUR's moves, as despite the BOJ also had its monetary policy meeting this Thursday, the decision barely affected the JPY. The pair spiked to 121.88 after Draghi's opening words were seen as hawkish, but quickly retreated after the Central Bank announced that tapering is still out of the table amid poor inflationary developments in the region. A retracement in US Treasury yields and poor developments among worldwide indexes, supported a modest advance in the JPY. From a technical point of view, the 4 hours chart shows that the price continues to develop above its 100 ad 200 SMAs, but also that technical indicators retreated further within positive territory, now without directional strength. Given the lower low daily basis,  at 120.60, a break below this last should result in an approach to the 120.00 region, en route to 119.75, a major Fibonacci support.

Support levels: 120.60 120.10 119.75

Resistance levels: 121.40 121.95 122.40

View Live Chart for the EUR/JPY

Author

Valeria Bednarik

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.

More from Valeria Bednarik
Share:

Editor's Picks

EUR/USD makes a U-turn, focus on 1.1900

EUR/USD’s recovery picks up further pace, prompting the pair to retarget the key 1.1900 barrier amid further loss of momentum in the US Dollar on Wednesday. Moving forward, investors are expected to remain focused on upcoming labour market figures and the always relevant US CPI prints on Thursday and Friday, respectively.

GBP/USD sticks to the bullish tone near 1.3660

GBP/USD maintains its solid performance on Wednesday, hovering around the 1.3660 zone as the Greenback surrenders its post-NFP bounce. Cable, in the meantime, should now shift its attention to key UK data due on Thursday, including preliminary GDP gauges.

Gold holds on to higher ground ahead of the next catalyst

Gold keeps the bid tone well in place on Wednesday, retargeting the $5,100 zone per troy ounce on the back of humble gains in the US Dollar and firm US Treasury yields across the curve. Moving forward, the yellow metal’s next test will come from the release of US CPI figures on Friday.

Ripple Price Forecast: XRP sell-side pressure intensifies despite surge in addresses transacting on-chain 

Ripple (XRP) is edging lower around $1.36 at the time of writing on Wednesday, weighed down by low retail interest and macroeconomic uncertainty, which is accelerating risk-off sentiment.

US jobs data surprises to the upside, boosts stocks but pushes back Fed rate cut expectations

This was an unusual payrolls report for two reasons. Firstly, because it was released on  Wednesday, and secondly, because it included the 2025 revisions alongside the January NFP figure.

XRP sell-off deepens amid weak retail interest, risk-off sentiment

Ripple (XRP) is edging lower around $1.36 at the time of writing on Wednesday, weighed down by low retail interest and macroeconomic uncertainty, which is accelerating risk-off sentiment.