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EUR/JPY: Changing hands on thin ice

FXStreet (Guatemala) - EUR/JPY is currently trading at 133.70 with a high of 133.82 and a low of 133.60.

EUR/JPY is consolidated at the bottom of the downside from 135.20, supported at 133.60 and capped at 134.00 on early attempts to the upside on a minor recovery that was very short lived. The driver came in the dollar taking the euro down to the lowest point since Jan 26th January, from 1.1360 to below 1.11.84 before making a slight recovery to current highs in 1.1213.

EUR/JPY is now treading on icy ground with this being a key level from both a resistance and support point of view this month and May 22nd 2015 peak. The move to the downside leaves Karen Jones's, chief analyst at Commerzbank view longer term on a negative bias intact. "We look for a break below 130.00 to the 200 month ma and Fibonacci retracement at 128.27/52 (38.2% retracement of the move up from 2012). This is the break down point to 124.94/June 2013 low en route to the 122.14/121.95 200 week ma and 50% retracement of the same move."

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