EURJPY tumbles, half hanging at key support.
“EURJPY slides as recent data dampens expectation towards Euro zone.”
Euro declined substantially against Japanese Yen while investors geared up for upcoming FOMC meeting later in the day. Recently, Germany’s labor market report showed an increase in unemployment, coinciding with depreciation of Manufacturing PMI. In addition, Japanese Yen gained substantially as the government step in to keep their currency from further depreciation.
Quick recap on EURJPY
The pair remains trading in a tight range, where both bulls and bears equalizes.
EURJPY Weekly Technical Analysis
From weekly perspective, bullish momentum begins to diminish, opening possibility for a short pullback.
EURJPY Daily Technical Analysis
From daily perspective, MACD formed negative divergence signal, adding up to further bearish momentum possibility.
Trading Idea
ORDER: SELL STOP
ENTRY: 145.40
STOP LOSS: 146.00
Target 1: 144.60
Target 2: 144.00
ZFX Analyst’s Comment
Two major timeframes signaled bearish skewed tendency which may be further confirmed after a closure below closest support level.
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