- Societe Generale (based on Business Recorder)
The European currency was unable to climb over the monthly S1 on Friday, which resulted in a retreat closer to the 128.00 level. This week the monthly S1 is bolstered by the weekly PP, making it more difficult for the EUR/JPY cross to breach. Technical studies also retain bearish signals, suggesting a decline is to take place; however, a 50-pip space for appreciation remains between Monday's opening price and the immediate resistance cluster. Meanwhile, dips are to be limited by the support line, with a possibility of volatility stretching out to the Apr 2015 low of 126.08.
Bulls are now outnumbering the bears by 2% points. Meanwhile, there are 58% of orders to acquire the Euro (previously 59%).