Chart EUR/JPY Update: Cautious trade - limited tests higher
The anticipated break above 182.00 is giving way to consolidation
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 186.00 | congestion | S1 | 182.00 | ** | congestion | ||
| R3 | 185.00 | ** | break level | S2 | 180.80 | ** | 12-16 Feb (m) low | |
| R2 | 184.00 | * | congestion | S3 | 180.00 | ** | congestion, 23.6% ret | |
| R1 | 182.50 | ** | congestion | S4 | 178.00 | * | break level |
Asterisk denotes strength of level
14:10 BST - The anticipated break above 182.00 is giving way to consolidation, with prices currently balanced around 182.20. A tick higher in intraday studies and rising oversold daily stochastics highlight room for continuation towards congestion resistance at 182.50. But the bearish daily Tension Indicator and deteriorating weekly charts should limit any further break in renewed selling interest beneath congestion around 184.00. Following cautious/corrective trade, fresh losses are looked for. A close back below 182.00 would provide further stability. But a close below the 180.80 monthly lows from 12-16 February will add weight to sentiment and open up strong support at 180.00.