EURJPY failed to sustain the break above the key 124 yen level. The correction from 121.47 (which was the lowest level since March 2013) was brief and prices reversed back down into the 122 handle. RSI is in bearish territory below 50, suggesting further downside risk. MACD also remains in bearish territory.
Apart from resistance at 124.00, the market is being capped by the 50-day moving average. As long as prices remain below this, then downward pressure will likely persist, and prices will continue to fall in the descending channel.
The market is at a critical point now, as it is testing the 50% Fibonacci of the upleg from 94.09 to 149.76 (July 2012 to December 2014 rise). A move below the 50% Fibonacci would start to erase the long term uptrend and there would be a shift in the bias with the 61.8% Fibonacci being the next target at 115.45.
Forex trading and trading in other leveraged products involves a significant level of risk and is not suitable for all investors.
Recommended Content
Editors’ Picks
AUD/USD: The hunt for the 0.7000 hurdle
AUD/USD quickly left behind Wednesday’s strong pullback and rose markedly past the 0.6900 barrier on Thursday, boosted by news of fresh stimulus in China as well as renewed weakness in the US Dollar.
EUR/USD refocuses its attention to 1.1200 and above
Rising appetite for the risk-associated assets, the offered stance in the Greenback and Chinese stimulus all contributed to the resurgence of the upside momentum in EUR/USD, which managed to retest the 1.1190 zone on Thursday.
Gold holding at higher ground at around $2,670
Gold breaks to new high of $2,673 on Thursday. Falling interest rates globally, intensifying geopolitical conflicts and heightened Fed easing bets are the main factors.
Bitcoin displays bullish signals amid supportive macroeconomic developments and growing institutional demand
Bitcoin (BTC) trades slightly up, around $64,000 on Thursday, following a rejection from the upper consolidation level of $64,700 the previous day. BTC’s price has been consolidating between $62,000 and $64,700 for the past week.
RBA widely expected to keep key interest rate unchanged amid persisting price pressures
The Reserve Bank of Australia is likely to continue bucking the trend adopted by major central banks of the dovish policy pivot, opting to maintain the policy for the seventh consecutive meeting on Tuesday.
Five best Forex brokers in 2024
VERIFIED Choosing the best Forex broker in 2024 requires careful consideration of certain essential factors. With the wide array of options available, it is crucial to find a broker that aligns with your trading style, experience level, and financial goals.