Yesterday, the EURJPY took a big step forward – moving above the 100 hour MA, trend line resistance and the 200 hour MA (green line in the chart above). In trading today, the first price corrected to the 38.2% and 200 hour MA in the Asian session, found buyers and has been trending to the upside since that low. The move has taken the price above the 38.2% of the move down from the end of June high at 96.88 and the low from January at 97.01. Good news for the pair continues today.
Looking at the 5 minute chart the trend higher has accerated in the NY session (moved above channel resistance). The 38.2%-50% of the last leg higher comes in at the 96.88-96.977 level. The 96.88 corresponds with the 38.2% level (see above). This increase the importance of the level for the rest of today. Stay above on corrections and the buyers remain in control.
