22 Jul 2015
EUR/JPY catalysts for the bull correction
FXStreet (Guatemala) - EUR/JPY is currently trading at 135.47 with a high of 135.60 and a low of 135.38.
EUR/JPY was a strong bid overnight on the back of the dollar's weakness after a number of sessions of being overbought when the trigger come from the decline in Treasury yields and ten-year rates falling more than four basis points, poor data and full on profit taking emerging.
That, as well as optimism for the Greek parliament to vote another yes in further rounds of voting on the reforms tomorrow is supporting the euro ahead of the bailout package negotiations that could then take place with the possibility of some form of debt relief for Greece. The Yen also made an impressive correction of over 70 pips early in the US session, capping the rally ahead of key resistance in the cross at 135.80. Meanwhile, the Bank of Japan will be putting new set of measures in place on its CPI. These are set to have a positive impact for upcoming readings.
EUR/JPY technically bullish
EUR/JPY is failing below key resistance from the rebound on the supporting 3-month uptrend territory. Karen Jones, chief analyst at Commerzbank suggested that a continued drift up towards 136.00 threatens prospects of the 200 DMA.
EUR/JPY was a strong bid overnight on the back of the dollar's weakness after a number of sessions of being overbought when the trigger come from the decline in Treasury yields and ten-year rates falling more than four basis points, poor data and full on profit taking emerging.
That, as well as optimism for the Greek parliament to vote another yes in further rounds of voting on the reforms tomorrow is supporting the euro ahead of the bailout package negotiations that could then take place with the possibility of some form of debt relief for Greece. The Yen also made an impressive correction of over 70 pips early in the US session, capping the rally ahead of key resistance in the cross at 135.80. Meanwhile, the Bank of Japan will be putting new set of measures in place on its CPI. These are set to have a positive impact for upcoming readings.
EUR/JPY technically bullish
EUR/JPY is failing below key resistance from the rebound on the supporting 3-month uptrend territory. Karen Jones, chief analyst at Commerzbank suggested that a continued drift up towards 136.00 threatens prospects of the 200 DMA.