Published: 2025-01-06T13:57:25.000Z
Chart EUR/JPY Update: Consolidating sharp bounce
Senior Technical Strategist
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The anticipated break above 162.00 has extended to congestion resistance at 164.00
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 166.00 | * | congestion | S1 | 162.00 | * | congestion | |
| R3 | 165.00 | * | congestion | S2 | 161.55 | * | 38.2% ret of Dec rally | |
| R2 | 164.00 | * | congestion | S3 | 161.00 | break level | ||
| R1 | 163.00 | * | congestion | S4 | 160.50 | ** | 50% ret of Dec rally |
Asterisk denotes strength of level
13:45 GMT - The anticipated break above 162.00 has extended to congestion resistance at 164.00, where overbought intraday studies are prompting fresh selling interest and a sharp pullback to 163.00. Bearish daily readings are flattening, suggesting potential for a retest higher. But mixed weekly charts are expected to prompt fresh selling interest towards 164.00. A close above 165.00 is needed to turn sentiment positive and confirm continuation of December gains. Meanwhile, support is at congestion around 162.00 and extends to the 161.55 Fibonacci retracement. This broad area should underpin any immediate setbacks.