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  • EUR/JPY stay firm above 200-DMA, 50% Fibonacci retracement of April-September fall.
  • 61.8% Fibonacci retracement, the upper line of multi-week-old rising channel question buyers.

EUR/JPY takes the bids to 121.80 during the pre-European session on Friday. The pair recently bounced off 200-Day Simple Moving Average (DMA) and 50% Fibonacci retracement of its downpour between April and September.

Prices are heading towards 61.8% Fibonacci retracement level of 122.65 whereas highs marked in July and May, around 123.35 and 123.75, will become the Bulls’ favorites then after.

However, the upper line of the rising trend-channel since early-September, at 124.35, will cap the pair’s advances beyond 123.75.

Meanwhile, 50% Fibonacci retracement and 200-DMA, near 121.35 and 121.15, limit the quote’s near-term declines.

If at all sellers sneak in around 121.00, the lower line of the mentioned channel, around 120.00, could challenge them, failure to do so can recall November month lows near 119.20.

EUR/JPY daily chart

Trend: Bullish