EUR/JPY is quite steady with the bullish momentum which has recently broke above the corrective structure resistance of 130.60. EUR has gained good momentum today despite the mixed economic reports published. Today, French Final Private Payrolls report was published with a decreased figure to 0.4% which was expected to be unchanged at 0.5% and Italian Quarterly Unemployment Rate report was better than expected at 11.2% from the previous value of 11.6% which was expected to be at 11.3%. On the JPY side, today we had no economic reports but recently somehow upbeat economic reports were published but the currency failed to gain against EUR this week. This week, EUR is expected to have an upper hand over JPY by observing the contrast of economic reports and the sentiment of the market responding to it. Like reports from the eurozone today, Japan’s report was also quite mixed but JPY could not gain against EUR that signals that EUR is stronger and a further upward move is expected in the coming days.
Now let us look at the technical chart. The price has broken above the 130.60 resistance level with a daily close where the price is also residing above the dynamic level of 20 EMA as well. As for the market structure, the bullish pressure is expected to continue further towards 132.25 resistance level in the coming days. If the price breaks above 132.25 with a daily close, then the price is expected to rush towards the 134.50 level. As the price remains above the 130.60 level, the bullish bias is expected to continue further.
The material has been provided by InstaForex Company – www.instaforex.com