- Ambrosetti Asset Management (based on CNBC)
The EUR/JPY currency pair behaved in accordance with expectations, as it underwent a correction and closed trade slightly above the target. Despite yesterday's surge, the situation remains unchanged. The given cross is stuck between the Bollinger band and the weekly S1 from below and the weekly PP and the 20-day SMA from above. Technical studies, however, are giving bearish signals, suggesting the Euro might edge back to the weekly S1 at 131.28 where it traded since Monday. Neither significant level is expected to be broken today, leaving the pair relatively flat.
Bulls and bears have reached a perfect equilibrium today, while the number of orders to purchase the Euro declined from 51 to 38%.