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- EUR/JPY Technical Strategy: Flat
- Support: 140.71 (rising trend line)
- Resistance: 141.75 (38.2% Fib exp.), 142.48 (falling trend line)
The Euro is flat-lining against the Japanese Yen, with prices slowly drifting sideways below the 142.00 figure. Initial resistance is at 141.75, the 38.2% Fibonacci expansion, with a break above that on a daily closing basis targeting a downward-sloping trend line set from late December (now at 142.48). Near-term support lines up at a rising trend line in play since mid-February, currently at 140.71.
Risk/reward considerations argue against taking a long position with prices trading in close proximity to relevant resistance. We will remain on the sidelines for the time being, waiting for a more attractive setup to present itself.
Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com