Betting on the upside for a move to the 200-day mean

8

Get real time updates directly on you device, subscribe now.

  • EUR / JPY extends the slide and breaks below the 122.00 support.
  • Lower, the 200-day moving average emerges around 121.10.

Bearish momentum over EUR / JPY took an extra pace on Thursday and led to a break below key support at 122.00, hitting a three-month lows.

Therefore, more falls are within the favorable scenario and the door is now open for a deeper pullback, initially to the 200-day SMA at the 121.10 / 15 band, while challenging the bullish outlook of the cross.

Looking at the broader picture, as long as it continues above the 200 day SMA at 121.13, the outlook for EUR / JPY is expected to remain constructive.

EUR / JPY day chart

eurjpy

.

Credits: Forex Street

Get real time updates directly on you device, subscribe now.