Chart EUR/JPY Update: Balanced trade - studies rising
The spike down towards support at 185.00 has bounced from 185.15, with prices currently balanced around 185.60 as oversold intraday studies flatten
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 188.20 | ** | May 1990 (y) high | S1 | 185.00 | ** | break level | |
| R3 | 187.95 | ** | 17 Apr YTD high | S2 | 184.00 | * | congestion | |
| R2 | 187.35 | ** | 50% ret of 1979-2000 fall | S3 | 183.15 | * | 12 Aug low | |
| R1 | 186.00 | * | congestion | S4 | 182.50 | ** | congestion |
Asterisk denotes strength of level
14:00 BST - The spike down towards support at 185.00 has bounced from 185.15, with prices currently balanced around 185.60 as oversold intraday studies flatten. The daily Tension Indicator continues to rise, highlighting room for retest of 186.00. But flat overbought daily stochastics should limit any initial tests in consolidation, before improving weekly charts prompt a break. A close above here will open up the 187.35 multi-year Fibonacci retracement. However, already overbought daily stochastics should limit any immediate tests in profit-taking/consolidation.
Meanwhile, support remains at 185.00. A close beneath here would help to stabilise sentiment and prompt consolidation above congestion support at 184.00.