EUR/JPY’s Sustained Resistance

Technical Reports

Recoil from the temporary bottom of 129.34 should reach 38.2% retracement of 137.49 to 129.34 at 132.45. Sustained resistance from that zone will restrict upside. Following pivot points include: (S1) 130.18; (P) 131.07; (R1) 131.64.

Breach of 129.34 will prolong the intact fall from 137.49 to the medium term fibonacci level of 126.61. Decisive breach of 132.45 will align 61.8% retracement at 134.3. Then, the drop from 137.49 will expand.

Basing on a bearish divergence condition in weekly MACD, lift from 109.03 has ended at 137.49. Larger decline should hit 38.2% retracement of 109.03 to 137.49 at 126.61. Breach of 137.49 should confirm restoration of a medium term increase.