EUR/JPY to retest the 126.75 level – Commerzbank

FXStreet Team FXStreet

EUR/JPY gained 0.11% on Monday, ending a six-day losing streak, after nearing the uptrend at 124.34. Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, recommends raising the stop to 124.30, partially cover 126.75 and exit the remainder 127.50.

Key quotes

“EUR/JPY has slipped back to and so far held over the four-month uptrend at 124.34. This suggests that the market remains capable of retesting the 126.75 peak from mid-August and the 2014-2020 resistance line lies at 127.53. A resistance line only connects two points and we have no strong bias on whether this will hold or not.”

“Please note that the intraday Elliott wave count is now negative and this implies that the four-month support line at 124.34 is exposed. Failure here would target the January high at 122.88. The latter guards the July low at 120.28.”

“Above the 127.53 downtrend we have the 200-month ma at 130.57.”

Author

FXStreet Team

FXStreet

EUR/USD trims gains, back below 1.1800

EUR/USD now loses some upside momentum, returning to the area below the 1.1800 support as the Greenback manages to regain some composure following the SCOTUS-led pullback earlier in the session.

GBP/USD off highs, recedes to the sub-1.3500 area

Following earlier highs north of 1.3500 the figure, GBP/USD now faces some renewed downside pressure, revisiting the 1.3490 zone as the US Dollar manages to regain some upside impulse in the latter part of the NA session on Friday.

Gold climbs to weekly tops, approaches $5,100/oz

Gold keeps the bid tone well in place at the end of the week, now hitting fresh weekly highs and retargeting the key $5,100 mark per troy ounce. The move higher in the yellow metal comes in response to ongoing geopolitical tensions in the Middle East and modest losses in the US Dollar.