6 Jul 2015
EUR/JPY, after Greek referendum, headed to 133.76?
FXStreet (Guatemala) - EUR/JPY is currently trading at 135.43 with a high of 135.59 and a low of 133.86.
EUR/JPY has been a big mover, now having recovered over 150 pips since the Asian open and large bearish gap on the back of the Greek referendum's results.
EUR/JPY price action
EUR/JPY was offered from 136.20 and Friday's close down to 133.90 before 133.86 attracting demand on the electronic open where the single currency rallied 56 pips and dragged the cross with it to 135.03 over the same 30 minute stick. since we have seen a continued recovery with little resistance until 135.59.
EUR/JPY fundamentals on Greek referendum
Aside from Greece, Kuroda hit the wires repeating the BoJ's intent to stick with the QQE programme and we look ahead to european bourses and the US coming on board. These opens will likely add liquidity to safe haven's such as the Yen on the back of the resounding No vote outcome that, on one hand, is leaving Athens with a stronger case to come back to the negotiating table. However, on the other hand, it also opens the door for a Grexit if mutual ground cannot be made between the Eurozone and Greece. Germany's economic minister, seeing it as Tsipras leading Greece down the path of hopelessness.
For the meantime, a European summit has been confirmed to take place on July 7th while some heads, such as Merkel and French president, Hollande, are more sympathetic to the public of Greece's decision. Greek Finance Minister Yanis Varoufakis, when responding to the Greek referendum, has called it, "a big yes to a democratic Europe". Dijsselbloem said the result was very regrettable which leaves us wondering if that was said in respect of a Grexit or not?
EUR/JPY technically
The bullish target zone for EUR/JPY of 140.70/141.06 has moved back in to the distance and the downside is compelling at this stage. 133.76, being 28 June lows are now back in to focus within April's uptrend from 129.09.
EUR/JPY has been a big mover, now having recovered over 150 pips since the Asian open and large bearish gap on the back of the Greek referendum's results.
EUR/JPY price action
EUR/JPY was offered from 136.20 and Friday's close down to 133.90 before 133.86 attracting demand on the electronic open where the single currency rallied 56 pips and dragged the cross with it to 135.03 over the same 30 minute stick. since we have seen a continued recovery with little resistance until 135.59.
EUR/JPY fundamentals on Greek referendum
Aside from Greece, Kuroda hit the wires repeating the BoJ's intent to stick with the QQE programme and we look ahead to european bourses and the US coming on board. These opens will likely add liquidity to safe haven's such as the Yen on the back of the resounding No vote outcome that, on one hand, is leaving Athens with a stronger case to come back to the negotiating table. However, on the other hand, it also opens the door for a Grexit if mutual ground cannot be made between the Eurozone and Greece. Germany's economic minister, seeing it as Tsipras leading Greece down the path of hopelessness.
For the meantime, a European summit has been confirmed to take place on July 7th while some heads, such as Merkel and French president, Hollande, are more sympathetic to the public of Greece's decision. Greek Finance Minister Yanis Varoufakis, when responding to the Greek referendum, has called it, "a big yes to a democratic Europe". Dijsselbloem said the result was very regrettable which leaves us wondering if that was said in respect of a Grexit or not?
EUR/JPY technically
The bullish target zone for EUR/JPY of 140.70/141.06 has moved back in to the distance and the downside is compelling at this stage. 133.76, being 28 June lows are now back in to focus within April's uptrend from 129.09.