The EURJPY cross indeed made more headway into its recovery from a low of 104.60 and currently at the 107.30. The price range is within a down channel & Trend from the previous high of 111.12 and the recent low of 104.60. With volume declining from previous report were due to profit taking / settlement rather than short covering. As most traders were net-short of the EURO vs. the Japanese Yen from most of the week's past.
A 50% Fib retracement back to the 108.30 is the next objective as the corrective move higher remains to be favored after the USDx declined to a low of 79.39. The Stochastics and momentum slowly building in a session to session would spill over to the US session as we head towards the end of the weeks closing. Please refer to the weekly chart formation as probable extensions higher can be placed at the 108.05/30 range that will provide a near term correction that may well extend until the last trading week of the month of April. Meanwhile, the comparison chart with the GBPJPY on the next tab have provided the positive tone influencing the European majors to set-aside the negative news surrounding the crisis on Spain.
No comments:
Post a Comment