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7 Aug 2014
EUR/JPY rejected above 137.00, drops to 136.25
FXStreet (Córdoba) - The EUR/JPY is falling for the fourth day in a row and is headed toward the lowest daily close since November 2013, but so far it has been able to hold above yesterday's lows.
On Wednesday the pair bottomed at 136.13 but then recovered ground and earlier climbed to 137.10. Afterwards resumed the decline and fell more than 70 pips from the highs. During the American session bottomed at 136.25 and in the last hours it has been steady trading in a range between 136.28 and 136.38,
EUR/JPY technical outlook
According to Valeria Bednarik, Chief Analyst at FXStreet the hourly chart shows the 100-SMA crossing below 200” one both well above current price, with indicators turning flat in oversold territory, far however from suggesting an upward correction”.
The 4-hour chart indicators, notes Bednarik, gained bearish slope “after a partial correction from oversold levels, pointing for fresh lows before the week is over”.
On Wednesday the pair bottomed at 136.13 but then recovered ground and earlier climbed to 137.10. Afterwards resumed the decline and fell more than 70 pips from the highs. During the American session bottomed at 136.25 and in the last hours it has been steady trading in a range between 136.28 and 136.38,
EUR/JPY technical outlook
According to Valeria Bednarik, Chief Analyst at FXStreet the hourly chart shows the 100-SMA crossing below 200” one both well above current price, with indicators turning flat in oversold territory, far however from suggesting an upward correction”.
The 4-hour chart indicators, notes Bednarik, gained bearish slope “after a partial correction from oversold levels, pointing for fresh lows before the week is over”.