EURJPY Price; Are Euro Bears Back in the Driver’s Seat?

EURJPY Price Analysis – April 23

Should the bears increase their pressure, the support level of $129.1 may be penetrated and the bearish momentum may extend to $128.2 and $127.3 price level.  Should the Bulls defend the support level of $129.1, the resistance level of $129.8, $130.7, and $131.2 may be tested by the bulls.

EURJPY Market

Key Levels:

Resistance levels: $129.8, $130.7, $131.2

Support levels: $129.1, $128.2, $127.3

 

EURJPY Long-term Trend: Bearish

On the long-term outlook, EURJPY is bearish. The currency pair was ranging last week within the $130.7 resistance level and $129.8 former support level. The bears exerts more pressure on the support level and the price decreases further towards the support level at $129.1. EURJPY broke out of the consolidation zone and currently facing the support level at $129.1.

EURJPY Daily chart, April 23

The fast moving average (9 day EMA) is trying to cross the slow moving average (21 day EMA) downside while the price is trading below the two EMAs which indicate that bearish movement has commences.  Should the bears increase their pressure, the support level of $129.1 may be penetrated and the bearish momentum may extend to $128.2 and $127.3 price level.  Should the Bulls defend the support level of $129.1, the resistance level of $129.8, $130.7, and $131.2 may be tested by the bulls. The relative strength index period 14 is bending up at 50 to indicate buy signal which may be a pullback.

EURJPY medium-term Trend: Bearish

On the 4-hour chart, EURJPY is bearish. EURJPY initially broke out of the consolidation towards the north on April 20. The bears rejected the breakout and push down the price below the support level at $129.8. Further price decrease envisaged provided the support level of $129.1 does not hold.

EURJPY 4-hour chart, April 23

The two EMAs are fairly separated from each other. The price is trading over and around the 9 periods EMA and 21 periods EMA. The relative strength index period 14 is at 50 levels with the signal line pointing up to indicate a buy signal which may be a pullback.