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Bear Trigger Remains Under Pressure

EURJPY TECHS
  • RES 4: 131.86 Jul 6 high
  • RES 3: 131.09 High Jul 13
  • RES 2: 130.56 High Jul 29
  • RES 1: 129.71/130.01 High Aug 16 / High Aug 5
  • PRICE: 128.43 @ 16:36 BST Aug 17
  • SUP 1: 128.36/29 Low Aug 17 / Low Mar 24 and key support
  • SUP 2: 127.88 38.2% retracement of the Oct '20 - Jun rally
  • SUP 3: 127.31 Low Feb 17
  • SUP 4: 126.44 Low Feb 9

EURJPY traded sharply lower Monday and extended these losses into the Tuesday close. A clear break of 128.60, the Jul 20 low, would confirm a resumption of the current downtrend and signal scope for weakness towards 128.29, Mar 24 low. Note too that this would also confirm a clear breach of the 200-dma at 129.01. Potential is also seen for a move to 127.88, 38.2% of the Oct '20 - Jun rally. Initial resistance is at 129.71, Monday's high.

MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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