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Forex: USD/JPY sideways trading at 101.58/59

FXstreet.com (Barcelona) - The USD/JPY has engaged in sideways trading Monday, devoid of any large catalyst during European trading. In what has been a relatively muted session, the cross has remained suspended in negative territory, now settling at 101.58/59, en route to a loss of -0.29% off its opening.

The USD/JPY’s break above key psychological resistance at the 100-level has also encouraged further yen selling. Consistent with the analysis of the BTMU Research Team, “Yen weakness appears likely to extend further in the near-term with little technical resistance for the USD/JPY until around the 105.00 to 105.50 area, which should encourage speculative selling.”

Briefing the technicals, the USD/JPY will encounter the following short-term supports at 101.10, then 100.32, and finally 99.89. Conversely, the pair is slated to face resistance at 102.31, then 102.75, and ultimately 103.52.

According to the ICN.com Analyst Team, “The ascending channel organized the USD/JPY’s trading over medium and long-terms; we also see the pair stable above 99.85 levels that might extend the bullish move this week. The pair might test around key resistance level of the ascending channel above 103.00, and trading above 100.35 supports extending the upside move.”

Forex: EUR/USD edges higher to 1.2978/79

The EUR/USD has turned positive, despite earlier setbacks that dragged the cross into the depths of 1.2952 (intraday low) Monday. However, this weakness proved to be short-lived, with the pair now modestly rising to 1.2978/79 in these moments, en route to a +0.05% gain during European trading.
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European equity markets pull back Monday

The European stock markets have edged lower Monday, continuing the course of the Asian markets earlier in the day. There has been a general market tranquility with seemingly sideways trading in currency markets, though this has not prevented a rescinding of last weeks gains in terms of equities.
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