EUR/JPY Down 48 Pips; in a Downtrend Over Past 30 Days

EUR/JPY Price Recap

The choppiness in the recent daily price action of EUR/JPY continues; to start today, it comes in at a price of 118.561 US dollars, down 48 pips (0.41%) since yesterday. The price move occurred on volume — and we’re using the number of tick price changes as a proxy for volume — that was up 90.24% from the day prior, but down 13.79% from the same day the week before. Relative to other instruments in the Forex asset class, EUR/JPY ranked 35th yesterday in terms of percentage price change. Below is a price chart of EUR/JPY.

EUR/JPY Technical Analysis

The first thing we should note is that EUR/JPY is now close to its 20, 50, 100 and 200 day moving averages, which may act as price barrier for the asset. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 20 day average, which is 152.1 pips away. Volatility for EUR/JPY has exploded over the past two weeks relative to the past 30 days, which technical traders will want to note. The clearest trend exists on the 14 day timeframe, which shows price moving down over that time. For additional context, note that price has gone up 15 out of the past 30 days.

The View From Around the Web

We’re seeing some traders come out with interesting conviction on EURJPY, with 14 buy signals on our radar and 14 sell signals. This imputes a buy/sell ratio of 1, which is neutral. As for the rationale, technical traders seem to be citing the appearance of channel, relative strength index and triangle technical patterns. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

eurjpy bounced back from the triangle upper boundary to retest the lower boundary again!