FxWirePro: EUR/JPY trades in narrow range below 38.2% Fib, focus on Draghi’s speech for further impetus

• EUR/JPY trades in narrow range, capped below 38.2% Fibo at 132.46.
   
• The major is hovering around 132 handle, intraday bias remains neutral.
   
• Markets await ECB President Draghi’s speech at the ECB conference hosted by the Institute for Monetary and Financial Stability, in Frankfurt.
   
• Price action has broken above major resistance at 131.55 levels (nearly converged 20 and 200 DMA).
   
• We see scope for test of 61.8% Fib at 134.39. Bearish invalidation likely on retrace below 200-DMA.
   
• Focus also on EZ Industrial production and employment change data which is due for release at 10.00 GMT.

Support levels - 131.56 (200-DMA), 131.50 (converged 20-DMA & 5-DMA), 131

Resistance levels - 132.46 (38.2% Fib), 133.05 (Feb 21 high), 133.42 (50% Fib), 134.39 (61.8% Fib)

Call update: Our previous call (https://www.econotimes.com/FxWirePro-EUR-JPY-breaks-past-132-handle-euro-boosted-by-ECBs-Philip-Lanes-comments-1198919) has almost hit TP1.

Recommendation: Watchout for break above 132.46 for further upside.

FxWirePro Currency Strength Index: FxWirePro's Hourly EUR Spot Index was at 12.4614 (Neutral), while Hourly JPY Spot Index was at 9.71214 (Neutral) at 0620 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.

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