Chart EUR/JPY Update: Under pressure in JPY-driven trade
Consolidation above 183.50 has given way to a sharp pullback in JPY-driven trade
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 186.32 | ** | 16 Jun (m) high | S1 | 184.00 | * | congestion | |
| R3 | 186.00 | ** | congestion | S2 | 183.50 | congestion | ||
| R2 | 185.50 | break level | S3 | 183.15~ | * | 24 Jun (m) low | ||
| R1 | 185.00 | ** | break level | S4 | 183.00 | * | congestion |
Asterisk denotes strength of level
14:20 BST - Consolidation above 183.50 has given way to a sharp pullback in JPY-driven trade, with prices currently trading around 184.80. Overbought daily stochastics are unwinding and the positive daily Tension Indicator is showing early signs of flattening, suggesting room for continuation down to congestion support at 184.00. Beneath here is further congestion around 183.50. But flattening oversold weekly stochastics could limit any initial tests of this range in short-covering/consolidation. Meanwhile, resistance is lowered to 185.00. A close above here would help to stabilise price action and prompt consolidation beneath 185.50.