EURJPY Up 8 Pips in Last Hour, Entered Today Down For the 2nd Consecutive Day; in an Uptrend Over Past 90 Days

Hourly Update

(Last Updated September 4, 2020 9:50 GMT)

Currently, EURJPY’s rate is up 7.9 pips (0.06%) from the hour prior. This is a reversal of the price action on the previous hour, in which price moved down. If you’re a trend trader, consider that the strongest clear trend on the hourly chart exists on the 100 hour timeframe. Of note is that the 100 hour changed directions on EURJPY; it is now pointing up. The moving averages on the hourly timeframe suggest a choppiness in price, as the 20, 50, 100 and 200 are all in a mixed alignment — meaning the trend across timeframes is inconsistent, indicating a potential opportunity for rangebound traders.

EURJPY End of Day Recap

Updated 00:30 GMT (04:30 EST)

EURJPY is down 33 pips (0.26%) since yesterday (opening today near 125.868), marking the 2nd consecutive day a decline has happened. Out of the 40 instruments in the Forex asset class, EURJPY ended up ranking 29th for the day in terms of price change. Here is a price chart of EURJPY.

EURJPY

EURJPY Technical Analysis

Coming into today EURJPY is now close to its 20 and 50 day averages, located at 125.5707 and 123.6862 respectively, and thus may be at a key juncture along those timeframes. The clearest trend exists on the 90 day timeframe, which shows price moving up over that time. Or to simplify this another way, note that out of the past 30 days EURJPY’s price has gone down 16 them.

The View From Around the Web

We’re seeing some traders come out with interesting conviction on EURJPY, with 16 buy signals on our radar and 8 sell signals. This imputes a buy/sell ratio of 2, which is bullish. As for the rationale, technical traders seem to be citing the appearance of a channel technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

2 possible scenarios;1….If currency pair breaks out from the uptrend channel and breaks the strong support region then will initiate a short position upon retest2….If currency pair stays within the uptrend channel and start a bullish momentum What I will do now is to wait and check the 1H timeframe to determine my course of action.


Forex Frank is a forex analyst and market commentator with nearly two decades of experience in currency trading. Follow him on social media: Facebook | Twitter | Instagram