Tuesday, July 19, 2011

EUR/JPY: Counter-Trend Extending - 19 July 2011

The euro-yen has rallied off support as forecast, surpassing yesterday's 112.10 target and now approaching the 112.80/90 area. At that level there is substantial resistance which may lead to a fall in the exchange rate. 

Overall the down-trend is expected to resume and bring the pair down to support levels in the 110s eventually, however.

Analysis prepared by:
Joaquin Monfort
Forex4you analyst