Daily Market Report – EUR/JPY Accelerates The Upside Thrust September 19, 2017

EUR/JPY At New Highs

The currency pair has rallied aggressively and has managed to escape from a minor ascending channel, signaling that the bulls are in full control and should drive it much higher. The Yen is demolished by the Nikkei’s impressive rally, the index is trading at 20282 level, much above the 20058 broken static resistance and below the 20320 highest high.

The JP225 seems unstoppable on the short term, has ignored important resistance levels and looks motivated to climb much higher in the upcoming period.

Personally, I’m waiting to see a minor decrease in the upcoming days after the impressive rally. A minor retreat will force the Yen to appreciate a little versus all its rivals.

The Euro could receive a helping hand from the Euro-zone data, the Current Account could increase from 21.2B to 22.3B in July, moreover the German ZEW Economic Sentiment is expected to climb from 10.0 points to 12.3 points. The ZEW Economic Sentiment could increase from 29.3 points to 32.4 points.

Price has managed to break above the confluence area formed at the intersection between the median line (ml) of the black ascending pitchfork with the warning line (short descending dotted line). The valid breakout has accelerated the current rally. EUR/JPY is trading right above the 150% Fibonacci line (ascending dotted line) and should approach and reach the sliding line (sl), where he may find a temporary resistance.

Gold Breakdown Needs Confirmation

Price has dropped sharply in the last two days and has managed to drop below the uptrend line and much below the warning line (WL1) of the major descending pitchfork. Remains to see if this will be a valid breakout, we still need a confirmation that will drop further. A retest of the WL1 followed by a minor drop will validate a further decrease.

EUR/CHF Towards New Peaks

Price edges higher and jumped above the 1.1536 static resistance, a valid breakout will confirm a further increase in the upcoming period. The next upside target will be at the fifth warning line (WL5), could be attracted also by the WL3 on the short term. Only a failure to reach these lines will signal another drop on the short term.

By Olimpiu Tuns

Market Analyst

Risk Disclaimer:

Trading, in general, is very risky and is not suited for everyone. There is always a chance of losing some or all of your initial investment/deposit, so do not invest money you can’t afford to lose. You are strongly advised to carry out your independent research before making any trading decisions. All the analysis, market reports posted on this site are only educational and do not constitute an investment advice or recommendation to open or close positions on international financial markets. The author is not responsible for any loss of profit or damage which may arise from transactions made based on any information on this website.

The post Daily Market Report – EUR/JPY Accelerates The Upside Thrust September 19, 2017 appeared first on mexgroupblog.

Source:: Daily Market Report – EUR/JPY Accelerates The Upside Thrust September 19, 2017