EUR/JPY faces tough resistance at 136.60 – Commerzbank

Rallies in EUR/JPY should meet strong resistance around the 136.60 region, noted Karen Jones, Head of FICC Technical Analysis at Commerzbank.

Key Quotes

“EUR/JPY has sold off to and bounced from the 55 day ma at 134.09. This support is reinforced by the 5 month uptrend at 133.81. Rallies will find initial resistance at the 20 day ma at 135.27 ahead of tough resistance offered by the 136.62 recent high and the 137.18 downtrend from 1981”.

“The 5 month uptrend will need to be eroded together with the 133.09 January low to re-target the 131.16 November low”.

“Above 137.20 would target the 140.00/20 2008-2018 resistance line”.