Chart EUR/JPY Update: Limited tests higher
The break below congestion support has bounced smartly from support at the 162.25 Fibonacci retracement
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 166.68 | * | 31 Oct (m) high | S1 | 163.00 | congestion | ||
| R3 | 166.00 | ** | break level | S2 | 162.25 | * | 38.2% ret of Sep-Oct rally | |
| R2 | 165.00 | ** | congestion base | S3 | 162.00 | congestion | ||
| R1 | 164.00 | break level | S4 | 161.84 | ** | 17 Oct (w) low |
Asterisk denotes strength of level
09:30 GMT - The break below congestion support has bounced smartly from support at the 162.25 Fibonacci retracement, as intraday studies turn higher, with prices once again trading above 163.00. Daily readings are mixed/negative and overbought weekly stochastics are unwinding, suggesting a bearish tone and potential for fresh selling interest towards resistance at the 164.00 break level. In the coming sessions, fresh losses are looked for, with a later break below 162.25 adding weight to price action and extending October losses towards the 161.84 weekly low of 17 October. Meanwhile, a close above 164.00 will help to stabilise price action and prompt consolidation beneath 165.00.