EUR/JPY breaks 130 handle, likely to test 131.20, stay long
EUR/JPY has broken stiff resistance at 21-EMA, raises scope for further upside.
The pair has hit new 2-week highs at 130.128 before paring some gains .
Technical indicators are bullish. Stochs and RSI have rolled over from oversold levels and MACD shows bullish crossover on signal line.
On the weekly charts, the pair has bounced off 100W SMA with a hammer formation.
The major has broken above 38.2% Fib at 129.54 and is on track to test major resistance 131.20 (converged trendline and cloud bottom).
On the flipside, 21-EMA at 129.05 is immediate support. Close below could see some weakness.
Support levels - 129.05 (21-EMA), 128.88 (5-DMA), 128, 127.66 (23.6% Fib)
Resistance levels - 130, 131, 131.20 (converged trendline and cloud bottom), 131.35 (May 22 high)
The pair has hit new 2-week highs at 130.128 before paring some gains .
Technical indicators are bullish. Stochs and RSI have rolled over from oversold levels and MACD shows bullish crossover on signal line.
On the weekly charts, the pair has bounced off 100W SMA with a hammer formation.
The major has broken above 38.2% Fib at 129.54 and is on track to test major resistance 131.20 (converged trendline and cloud bottom).
On the flipside, 21-EMA at 129.05 is immediate support. Close below could see some weakness.
Support levels - 129.05 (21-EMA), 128.88 (5-DMA), 128, 127.66 (23.6% Fib)
Resistance levels - 130, 131, 131.20 (converged trendline and cloud bottom), 131.35 (May 22 high)