EUR/JPY technical analysis: Drops to 50-day MA support


  • EUR/JPY is flirting with 50-day MA support amid the drop in the S&P 500 futures. 
  • Bulls need a break above the trendline sloping downwards from April highs. 

EUR/JPY fell to the 50-day moving average (MA) support of 119.04 soon before press time, having faced rejection at the resistance of the trendline connecting April 17 and July 1 highs in the early Asian trading hours. 

As of writing, the pair is trading at 119.14, representing 0.40% losses on the day. 

The pair has failed at least three times in the last four days to take out the descending trendline

That has strengthened the case for a convincing break below 119.04 and a deeper drop to 118.69 (Sept. 16 low). 

On the higher side, a convincing daily close above the descending trendline is needed to confirm a bullish reversal. 

The bullish breakout, however, may remain elusive, as the US equity futures are flashing signs of risk aversion. As of writing, the futures on the S&P 500 are down 030%. So, the anti-risk Japanese Yen will likely remain better bid during the day ahead. 

Moreover, the Bank of Japan (BOJ) kept key policy tools unchanged a few minutes before press time, leaving the JPY pairs at the mercy of the broader market sentiment

Daily chart

Trend: Bearish

Technical levels

EUR/JPY

Overview
Today last price 119.01
Today Daily Change -0.61
Today Daily Change % -0.51
Today daily open 119.62
 
Trends
Daily SMA20 118.12
Daily SMA50 119.11
Daily SMA100 120.75
Daily SMA200 123.09
 
Levels
Previous Daily High 119.83
Previous Daily Low 119.27
Previous Weekly High 120.01
Previous Weekly Low 117.54
Previous Monthly High 120.72
Previous Monthly Low 116.57
Daily Fibonacci 38.2% 119.48
Daily Fibonacci 61.8% 119.62
Daily Pivot Point S1 119.32
Daily Pivot Point S2 119.01
Daily Pivot Point S3 118.76
Daily Pivot Point R1 119.88
Daily Pivot Point R2 120.14
Daily Pivot Point R3 120.44

 

 

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