EUR/JPY set to surge higher towards the 137.51 2018 peak – Commerzbank

EUR/JPY has bounced off the 131.52 support and is set to head higher towards the 134.12 June peak. Above here, the pair will target the 137.51 mark, Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, reports.

EUR/JPY recovered off the Fibo support

“EUR/JPY has eased back to and bounced off the 38.2% retracement at 131.52. Attention is back on the 134.12 June peak.”

“Longer-term, a break above the June peak is favoured, and will introduce scope to 137.51.”

“Dips should find initial support 131.55/50 and then at 130.74/46, the September highs and should attempt to reassert its longer term bull trend ahead of here.”

“Below 130.46 lies 128.74, the 6th October low and the 127.94/50, August and September lows and the February 2019 high.”