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24 Feb 2014
EUR/JPY is clinching to the support of 140.50
FXStreet (Moscow) - EUR/JPY is under selling pressure due to JPY strengthening across the board; the cross touched the resistance of 141.00 and retraced to current lows of 140.50.
Will EZ CPI become a game changer?
On Friday EUR/JPY tried to break the important resistance level of 141.00 and reached maximum at 141.26 but failed to keep ground and finished the week below the above said level. Weekly charts show signs of bullish reversal, though we still need the confirmation in the form of daily close well above 141.00. Eurozone publishes January CPI later today. It is expected to drop further to 0.7% y/y against 0.8% y/y in December. This news may put the single currency under pressure across the board as it will remind the investors of the deflation scare. So readings below or in line with forecasts may push the cross to the support level of 140.50 (1h 50 EMA) and even to 140.00. The upside is likely to be limited by 141.00.
What are today’s key EUR/JPY levels?
Today's central pivot point can be found at 140.82, with support below at 140.35, 139.81 and 139.34, with resistance above at 141.36, 141.83, and 142.37. Hourly Moving Averages are mostly bullish, with the 200SMA at 139.98 and the daily 20EMA at 139.89. Hourly RSI is neutral at 52.
Will EZ CPI become a game changer?
On Friday EUR/JPY tried to break the important resistance level of 141.00 and reached maximum at 141.26 but failed to keep ground and finished the week below the above said level. Weekly charts show signs of bullish reversal, though we still need the confirmation in the form of daily close well above 141.00. Eurozone publishes January CPI later today. It is expected to drop further to 0.7% y/y against 0.8% y/y in December. This news may put the single currency under pressure across the board as it will remind the investors of the deflation scare. So readings below or in line with forecasts may push the cross to the support level of 140.50 (1h 50 EMA) and even to 140.00. The upside is likely to be limited by 141.00.
What are today’s key EUR/JPY levels?
Today's central pivot point can be found at 140.82, with support below at 140.35, 139.81 and 139.34, with resistance above at 141.36, 141.83, and 142.37. Hourly Moving Averages are mostly bullish, with the 200SMA at 139.98 and the daily 20EMA at 139.89. Hourly RSI is neutral at 52.