FXStreet (Bali) – The true illustration of the risk aversion hitting the markets on the latest Greek-induced panic at the Asian open can be found in the exchange rate of the EUR/JPY, presently at day lows of 134.45 after a close just below 138.50 on Friday.
EUR/JPY: Outright bearish from the get go
As Valeria Bednarik, Chief Analyst at FXStreet, notes: “The EUR/JPY has been swamped with an overwhelming combination of EUR sell-off and demand for safe-haven JPY. The daily chart shows that it broke below its 200 DMA, whilst the 100 DMA offers now a critical support for the upcoming sessions around 133.10.”
“The risk is still towards the downside, with upward movements probably seen as selling opportunities. The pair can go up to 136.45, but chances of filling the gap over the next 24 hours are pretty much null”, Valeria adds.
(Market News Provided by FXstreet)