The EURJPY market has been very choppy since price action in the market crossed the 170.00 threshold. The market retreated below the 170.00 price level about five sessions ago. Since then, price action has been quite unsteady. Even with economic data (the Producer Price Index and Harmonized Index of Consumer Prices) coming out from both sides of the pair, the choppy characteristic may not be so easily overcome.
Key Price Levels:
Resistance Levels: 170.00, 175.00, and 180.00
Support Levels: 165.00, 160.00, and 155.00
EURJPY Seems to Be in a Volatility Storm
Ever since price action fell below 170.00 on the EURJPY daily market, it could be observed that price volatility has been high. The current session is bearish, but the price of the pair hasn’t moved downward that much from where it was in the previous session.
As a result, the pair continues trading above most of the Exponential Moving Average lines (EMA). Meanwhile, the Moving Average Convergence Divergence (MACD) indicator lines continue to fall towards the centerline. In addition, the last two bars on the MACD are solid red, indicating that downward forces are strong.
EURJPY Bulls Are Fighting the Storm
Even on the EURJPY market of 4-hour price movement, the market appears quite unsettled. The market retains a very choppy appearance, with dashed price candles scattered all over it. However, the last price candle appears as a dashed green price candle. Also, it has appeared above the 200-day EMA line. Likewise, the MACD lines are now below the equilibrium level.
The lines of the indicator can be seen delivering a bearish crossover below the equilibrium level. Additionally, a red bar has appeared on the MACD below the equilibrium level following the bearish crossover. Technically, it could be assumed that the market may hit 168.00 as a technical support level. However, the better of the above-mentioned fundamentals may likely tip the scale in their respective favor, so traders might want to monitor that and more.
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