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28 Jul 2015
EUR/JPY offered at 200-DMA, drops to 136.50
FXStreet (Mumbai) - The EUR/JPY fell to a session low of 135.37 after it bumped into offers stationed at 136.96 (200-DMA) earlier today.
Rejected at 200-DMA
The spot faced rejection at its 200-DMA for the second day in a row as the markets ditched low yielding EUR on signs of stability in the major European equity markets. The risk aversion in the Chinese equity markets on Monday led markets to speculate that Fed may delay rate hike. Consequently, the EUR jumped higher.
However, the bid tone was not strong enough to help the spot sustain above 200-DMA. As for today, the stability in the equity markets and the uptick in the Treasury yields pushed the EUR lower across the board. Ahead in the day, the sentiment on the Wall Street could affect the pair.
EUR/JPY Technical Levels
The immediate resistance is seen at 136.96 (200-DMA), followed by another hurdle at 137.79 (July 13 high). On the other hand, support is seen at 136.00 and 135.51 (10-DMA).
Rejected at 200-DMA
The spot faced rejection at its 200-DMA for the second day in a row as the markets ditched low yielding EUR on signs of stability in the major European equity markets. The risk aversion in the Chinese equity markets on Monday led markets to speculate that Fed may delay rate hike. Consequently, the EUR jumped higher.
However, the bid tone was not strong enough to help the spot sustain above 200-DMA. As for today, the stability in the equity markets and the uptick in the Treasury yields pushed the EUR lower across the board. Ahead in the day, the sentiment on the Wall Street could affect the pair.
EUR/JPY Technical Levels
The immediate resistance is seen at 136.96 (200-DMA), followed by another hurdle at 137.79 (July 13 high). On the other hand, support is seen at 136.00 and 135.51 (10-DMA).