6 Jan 2014
EUR/JPY is under selling pressure
EUR/JPY moved significantly lower during Asian hours on Monday and briefly fell below 141.50 form 102.49 at the opening; now it is trading at 141.83.
EUR/JPY is focused on Euro area statistics
EUR/JPY lived through a sharp decline at the start of the year. The first full trading week hasn’t brought the respite for the cross as it fell nearly 100 pts due to the broad based Yen strengthening and risk aversion. Today lots of traders return to their desks from Christmas and New Year holidays, so intraday movements are likely to be influenced by position adjustment. Apart from December vehicle sales report (the sales increased by 13.3% in November) Japanese economic calendar is empty today, so the traders will be focused on European economic data published later this week. We have Service PMI in Euro area, German inflation data and EZ confidence indicators published during the European hours. Watch out for consumer price trends in Germany as that may have a great impact on ECB policy decisions. Should the price pressure in the largest Euro area economy subside, the ECB doves might feel that their day has come, which in turn will undermine Euro positions and cause further EUR/JPY decline.
What are today’s key EUR/JPY levels?
Today's central pivot point can be found at 142.54, with support below at 141.74, 141.16 and 104.36, with resistance above at 143.12, 143.92, and 144.50. Hourly Moving Averages are bearish, with the 200SMA at 143.72 and the daily 20EMA at 142.41. Hourly RSI is neutral at 30.10.
EUR/JPY is focused on Euro area statistics
EUR/JPY lived through a sharp decline at the start of the year. The first full trading week hasn’t brought the respite for the cross as it fell nearly 100 pts due to the broad based Yen strengthening and risk aversion. Today lots of traders return to their desks from Christmas and New Year holidays, so intraday movements are likely to be influenced by position adjustment. Apart from December vehicle sales report (the sales increased by 13.3% in November) Japanese economic calendar is empty today, so the traders will be focused on European economic data published later this week. We have Service PMI in Euro area, German inflation data and EZ confidence indicators published during the European hours. Watch out for consumer price trends in Germany as that may have a great impact on ECB policy decisions. Should the price pressure in the largest Euro area economy subside, the ECB doves might feel that their day has come, which in turn will undermine Euro positions and cause further EUR/JPY decline.
What are today’s key EUR/JPY levels?
Today's central pivot point can be found at 142.54, with support below at 141.74, 141.16 and 104.36, with resistance above at 143.12, 143.92, and 144.50. Hourly Moving Averages are bearish, with the 200SMA at 143.72 and the daily 20EMA at 142.41. Hourly RSI is neutral at 30.10.