Overview:
EUR/JPY is trading in lower range. The rate is undermined by negative euro sentiment; reduced investor risk appetite; profit-taking on yen shorts ahead of weekend; and Japan exporter sales. But EUR/JPY losses tempered by aggressive BOJ monetary easing stance; demand from Japan importers. Daily chart is mixed as MACD is bullish, but stochastic turned bearish at overbought.
Preference:
Sell below 147.3 with targets at 144.85 and 144.25 in extension.
Support levels:
S1 - 144.85
S2 - 144.25
S3 - 143.75
Alternative scenario:
Buy above 147.3. Above 147.3 look for further upside with 147.9 and 148.5 as targets.
Resistance levels:
R1 - 147.9
R2 - 148.5
R3 - 149.25
Technical comment:
The RSI is bearish and calls for further downside.
