Chart EUR/JPY Update: Limited gains
Choppy trade around support at 183.00 has given way to a JPY-driven bounce
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 187.35 | ** | 50% ret of 1979-2000 fall | S1 | 183.00 | * | break level | |
| R3 | 186.00 | * | figure | S2 | 182.00 | * | break level | |
| R2 | 184.90/00 | * | 22 Dec (y) high; figure | S3 | 181.00 | ** | congestion | |
| R1 | 184.00 | * | congestion | S4 | 180.00 | ** | historic congestion |
Asterisk denotes strength of level
14:15 GMT - Choppy trade around support at 183.00 has given way to a JPY-driven bounce, with prices currently trading around 183.75. Intraday studies have turned mixed/positive and oversold daily stochastics are flattening, highlighting room for a test of congestion resistance at 184.00. But the bearish daily Tension Indicator and deteriorating weekly charts are expected to limit any break in renewed selling interest beneath critical resistance at 184.90/00. Following cautious/corrective trade, fresh losses are looked for. A later break below 183.00 will add weight to sentiment and open up support at 182.00. Continuation beneath here will extend late-December losses towards 180.00.