EURJPY Downside Traction Halts Momentarily Around 120.00 Level Amid Negative Market Sentiment

EURJPY Price Analysis – June 26

The EURO is dropping against Japan’s safe-haven yen, but it stops at around 120.00 marks for the moment. So far, the pair has lost about 0.2 percent with a weighted risk bias on the back of rising reports of coronavirus and the proposal of the US government to raise tariffs on European products.

Key Levels
Resistance Levels: 124.43, 122.20, 120.50
Support Levels: 119.00, 117.50, 114.85
EURJPY Long term Trend: Ranging
After a botched effort earlier in the week to exceed the 121.00 marks, this week so far, EURJPY is now aiming to consolidate in the mid-120.00s. The 121.00 territory also aligns with the highs from March.

However, strong support seems to have formed in the mid-119.00s at the ascending trendline. A breach underneath this region in the medium term may open the path for a larger retracement. In the wider context, the position on the cross is anticipated to stay positive beyond the horizontal support level at 119.31.
EURJPY Short term Trend: Ranging
Intraday bias in EURJPY stays initially neutral. With resistance level, 122.20 unchanged, a decline from level 124.43 is still in support of proceeding. The 119.31 level market breach may attempt a retraction of 61.8 percent from 114.85 to 124.43 at 118.52 levels.

Breaking of 122.20 level can, however, alter bias back to the upside for attempting level 124.43. In short, EURJPY is anticipated to halt the upper-run in the short term, while bullish sentiment may progress in the medium term once the price validates an exit beyond 122.20 level.

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