FXStreet (Guatemala) – Valeria Bednarik, chief analyst at FXStreet explained that the EUR/JPY pair trades near a three-week high, as the Japanese yen sheds ground following a strong recovery in US stocks, although the pair remains confined within a tight range, given that the EUR and the JPY move in tandem against the greenback.
Key Quotes:
“The 1 hour chart shows that the pair fell down to its 100 SMA early Asia, at 128.08, where buying interest resurged. Currently hovering near 128.60, the technical indicators in the same chart head higher above their mid-lines, favoring some further short term gains.
In the 4 hours chart, the price remains above its 100 SMA, which actually lost its bearish slope and is now horizontal around 128.00, while the technical indicators remain directionless above their mid-lines, limiting chances of a stronger advance. This January high stands at 129.07, and will take some steady advance beyond the level to see some further gains during the upcoming sessions.”
(Market News Provided by FXstreet)