EUR/JPY Technical Analysis: Eyes corrective rally on oversold conditions

The EUR/JPY pair is mildly bid at 127.75 at press time and could soon revisit the psychological level of 128.00, courtesy of oversold intraday conditions and signs of bullish indicator divergence on the short duration charts.

Omkar Godbole FXStreet Contributor

Hourly chart

The RSI was at its lowest since Aug. 10 a few minutes before press time, meaning the pair was most oversold in three months. As of writing, the RSI is rising from oversold territory. So, a stronger corrective rally could be in the offing.

15-minute chart

The bullish divergence of the RSI and the falling wedge breakout indicates the sell-off has likely run its course and recovery rally to 128.00 could unfold in the next few hours.

Trend: Bullish

EUR/JPY

Overview:
    Last Price: 127.78
    Daily change: -2.0 pips
    Daily change: -0.0156%
    Daily Open: 127.8
Trends:
    Daily SMA20: 128.77
    Daily SMA50: 129.89
    Daily SMA100: 129.51
    Daily SMA200: 130.19
Levels:
    Daily High: 129.21
    Daily Low: 127.78
    Weekly High: 130.16
    Weekly Low: 128.6
    Monthly High: 132.49
    Monthly Low: 126.63
    Daily Fibonacci 38.2%: 128.33
    Daily Fibonacci 61.8%: 128.66
    Daily Pivot Point S1: 127.32
    Daily Pivot Point S2: 126.84
    Daily Pivot Point S3: 125.9
    Daily Pivot Point R1: 128.74
    Daily Pivot Point R2: 129.68
    Daily Pivot Point R3: 130.16

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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