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| Daily EURJPY cross as of March 19 '12 |
The earlier price reaction of the EURJPY form the previous week was more influenced by the USDJPY continuing price higher reaching the 84.16 high. While the late reaction came form the USD pulling back to the 79.67 low. The correlation of the Euro & the Sterling Pound vs. the USD would be directly affected more than that of the cross rates.
However, the daily market reaction after the fall would have a relative mix sentiments as contrary movements are being set-up for a temporary correction for the EURJPY heading south in line with the USD gaining lost ground and would affect the Japanese Yen including the GBPJPY cross rates respectively. The price movement heading lower on a daily basis would be within the week's trading towards the end of the quarter before the next high would be attempted. The support price level of 108.10 would serve as the crucial price and a probable retest on a lower candle wick would be nearer to the 108.62 daily Moving average. A slower volume build-up can be gauge with the momentum and volatility index during the mid-week as we draw closer to the end of the month.
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