16 Jul 2014
EUR/JPY falls to test key support at 137.50
FXStreet (Córdoba) - The EUR/JPY dropped further during the American session and bottomed at 137.48. The area round 137.50 capped the decline, like it did last week. Price remains trading slightly above 137.50, headed toward the lowest daily close since early February.
A weak Euro continues to push the EUR/JPY to the downside, extending the decline that started at the beginning of the month after trading momentarily above 139.00.
EUR/JPY technical outlook
“Technically, the hourly chart shows a healthy bearish bias with momentum heading south and price moving away from its 100 SMA currently in the 137.90 price zone offering immediate short term resistance”, says Valeria Bednarik, Chief Analyst at FXStreet.
The 4-hour chart also shows a lower bias according to technical readings notes Bednarik, “pointing for a downward continuation towards strong 136.60 midterm support”.
A weak Euro continues to push the EUR/JPY to the downside, extending the decline that started at the beginning of the month after trading momentarily above 139.00.
EUR/JPY technical outlook
“Technically, the hourly chart shows a healthy bearish bias with momentum heading south and price moving away from its 100 SMA currently in the 137.90 price zone offering immediate short term resistance”, says Valeria Bednarik, Chief Analyst at FXStreet.
The 4-hour chart also shows a lower bias according to technical readings notes Bednarik, “pointing for a downward continuation towards strong 136.60 midterm support”.