EUR/JPY Price Analysis: Upside pressure alleviated below 127.70

EUR/JPY fades Monday’s advance and breaches 129.00.
Next on the downside emerges the 127.70 region.

Pablo Piovano FXStreet

EUR/JPY breaks below the 129.00 support and extends the corrective downside to the 128.90/80 band on turnaround Tuesday.

Despite the knee-jerk, the positive bias in the cross remains unchanged for the time being. Against that, further upside still remains on the cards and the surpass of YTD highs near 130.70 should allow for extra gains with immediate target at the 131.00 hurdle followed by the summer 2018 high at 131.98 (July 17).

However, if the selling impetus gathers extra steam, then the next target of note will be at the 127.70 area, where coincide the immediate support line (off November 19 2020 low) and the 50-day SMA. Below this area, the upside pressure is forecast to lose traction.

In the meantime, while above the 200-day SMA at 125.01 the broader outlook for the cross should remain constructive.

EUR/JPY daily chart

EUR/JPY

Overview
Today last price	128.94
Today Daily Change	106
Today Daily Change %	-0.72
Today daily open	129.88

Trends
Daily SMA20	129.34
Daily SMA50	127.71
Daily SMA100	126.51
Daily SMA200	125.05

Levels
Previous Daily High	129.94
Previous Daily Low	129.02
Previous Weekly High	130.67
Previous Weekly Low	129.32
Previous Monthly High	129.98
Previous Monthly Low	126.1
Daily Fibonacci 38.2%	129.59
Daily Fibonacci 61.8%	129.37
Daily Pivot Point S1	129.28
Daily Pivot Point S2	128.69
Daily Pivot Point S3	128.36
Daily Pivot Point R1	130.21
Daily Pivot Point R2	130.54
Daily Pivot Point R3	131.13

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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