EUR/JPY Bulls Aiming for 125.00 Mark
After opening with a lower gap and subsequent dropping to the lowest level in over 3-years, the EUR/JPY
pair has recovered smartly from Monday's low of 121.71 and post ECB
announcement has moved within striking distance of touching 125.00 mark.
EUR/JPY on track for fourth consecutive day of advance
The pair has decisively cleared its intermediate resistance near 124.20 level, marking 38.2% Fibonacci retracement level of its fall during April (128.16-121.71) and is currently trading just below 124.50 level. The pair's momentum seems strong enough to lift it beyond 124.50 level to test its immediate strong resistance near 125.00 handle, also coinciding with 50% Fibonacci retracement level.
Any hints of profit taking at higher levels might now find buyers near 38.2% Fibonacci retracement level resistance break-point, now turned immediate support, near 124.20. Only a decisive break of the said immediate support, leading the pair back below 124.00 mark, would negate possibilities of testing 125.00 mark and dragging the pair immediately towards 123.50 horizontal support.