Chart EUR/JPY Update: Further gains to remain limited
Consolidation following the anticipated test of resistance at the 167.39 high of 2 May is giving way to a break
Levels | Imp | Comment | Levels | Imp | Comment | |||
---|---|---|---|---|---|---|---|---|
R4 | 170.00 | ** | figure | S1 | 166.00 | * | congestion | |
R3 | 169.39 | * | 26 Apr (w) high | S2 | 165.00 | * | congestion | |
R2 | 168.00 | * | congestion | S3 | 164.00 | * | break level | |
R1 | 167.39 | 2 May high | S4 | 163.00 | * | congestion |
Asterisk denotes strength of level
14:10 BST - Consolidation following the anticipated test of resistance at the 167.39 high of 2 May is giving way to a break, with prices currently trading around 167.50. Overbought intraday studies have ticked higher, and oversold daily stochastics are unwinding, suggesting potential for still further gains in the coming sessions. Resistance is at congestion around 168.00. However, negative weekly charts are expected to limit any immediate tests in fresh consolidation. Meanwhile, support remains down to congestion around 166.00. A later break beneath here will open up further congestion around 165.00. However, a close below 164.00 is needed to turn sentiment negative once again and extend losses below 163.00 towards the 162.40 Fibonacci retracement.