EUR/JPY technical analysis: Reversal from 12-day top signals 200-HMA re-test


  • Failure to cross mid-month high, overbought RSI triggered EUR/JPY declines.
  • 200-HMA, 38.2% Fibonacci retracement confluence can question the latest downpour amid RSI drop.

Having failed to clear the late-June 13 top drags the EUR/JPY pair to short-term key support confluence as it takes the rounds to 121.95 ahead of the European open on Tuesday.

While 200-hour moving average (200-HMA) and 38.2% Fibonacci retracement of recent declines strengthens the 121.80 mark as a support confluence, pair’s further downside is less likely considering expected stabilization past steep drop in the 14-bar relative strength index.

Should bears refrain from respecting 121.80 rest-point, 121.30 and 121.00 could be next on their radar.

Alternatively, 122.21 and aforementioned horizontal-line near 122.48 could keep restricting the pair near-term upside.

Also, a successful break of 122.48 enables buyers to aim for 122.73 and month’s top close to 123.18.

EUR/JPY hourly chart

Trend: Bearish

    1. R3 122.89
    2. R2 122.65
    3. R1 122.48
  1. PP 122.23
    1. S1 122.06
    2. S2 121.82
    3. S3 121.65

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD leaning lower as the USD gains ground

EUR/USD is trading closer to 1.10, as the US dollar gradually advances. Two White House advisers expressed contradicting accounts of US-Sino trade talks, causing confusion. Germany refrained from adding fiscal stimulus.

EUR/USD News

GBP/USD dives below 1.25 as EU pours cold water on Brexit hopes

GBP/USD is falling 1.25, over 100 pips off from the two-month highs of 1.2582 as EU officials cast doubts about the seriousness of the new UK proposals on Brexit. 

GBP/USD News

USD/JPY Forecast: A breakout of 108.50 should put the 109.30 area on the radar

The USD/JPY is seeing some corrective downside after recent tops and failure at the 108.50 region, which continues to cap occasional bullish attempts for the time being.

USD/JPY News

Gold climbs further beyond $1500 mark, lacks follow-through

Gold edged higher for the second consecutive session on Friday, albeit remained well within a familiar trading range held over the past two weeks or so.

Gold News

Top 3 price prediction Bitcoin, Ripple, Ethereum: Ethereum points to the Moon as Bitcoin takes a break

ETH/USD exceeds $220 and is bidding to lead the market. Bitcoin sets a bear trap and recaptures $10,000. XRP stalls between technical levels and fails to consolidate $0.30.

Read more

Forex MAJORS

Cryptocurrencies

Signatures