- ING (based on WBP Online)
On Monday, even though the Euro fell under the 136 level, the support cluster around 135.30 pushed the single currency back. As a result, the EUR/JPY pair gained 24 pips and stabilised at 136.80. The cross should maintain the gains through Tuesday, while the closest resistance lies at 136.96, namely the 200-day SMA. However, the SMA is unlikely to limit the gains, but a stronger cluster lies around 137.60. Meanwhile, technical studies retain mixed signals, unable to confirm the bullish scenario.
The long/short position ratio is now equal to one. The number of purchase orders almost doubled, as exactly three fourths of them are not set to acquire the Euro, compared to 38% yesterday.