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FxWirePro: EUR/JPY trades rangebound for the 3rd straight session, finds stiff resistance at daily cloud
EUR/JPY chart - Trading View
EUR/JPY was trading largely unchanged at 123.48 at around 07:20 GMT, with session high at 123.63 and low at 123.36.
The pair is extending sideways grind for the 3rd straight session, with back-to-back doji formations on the daily candles.
Major trend is neutral, while we see weakness in the minor trend. Price action is below cloud and recovery attempts are being capped below.
Recovery in the pair has been rejected at 50-DMA resistance and momentum studies are bearish.
110-EMA is strong support at 123.03. Decisive break below will see weakness. Drag till lower Bollinger band at 122.42 likely ahead of 200-DMA at 121.06.
Bias is towards the downside. Watch out for break below 110-EMA for further weakness. Retrace above cloud will negate any bearish bias.
Support levels - 123.03 (110-EMA), 122.77 (110W EMA), 121.06 (200-DMA)
Resistance levels - 123.71 (20-DMA), 124, 125.17 (200W MA)