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Bears Remains In The Driver’s Seat

EURJPY TECHS
  • RES 4: 171.09 High Jul 23
  • RES 3: 169.55 50-day EMA
  • RES 2: 168.01 High Jul 26
  • RES 1: 162.89/164.83 High Aug 1 / Low Jul 25
  • PRICE: 161.11 @ 07:06 BST Aug 2
  • SUP 1: 160.65 Intraday low
  • SUP 2: 160.22 Low Mar 11
  • SUP 3: 158.92 Low Feb 7
  • SUP 4: 158.47 76.4% retracement of the Dec 7 ‘23 - Jul 11 bull cycle

The sharp sell-off in EURJPY this week, reinforces a bearish theme. The move down since Jul 11 has resulted in the break of a trendline drawn from Dec 7 low last year, and a breach of the 50-day EMA. Moving average studies are also highlighting a bear cross. This signals scope for an extension towards 160.22, the Mar 11 low. On the upside, a key short-term resistance is seen at 168.01, Jul 26 high. Initial firm resistance is 164.83, Jul 25 low.

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