EUR/JPY consolidation expected around 133.40 – Commerzbank

The cross is now expected to attempt some consolidation above the 133.00 handle, noted Karen Jones, Head of FICC Technical Analysis at Commerzbank.

Key Quotes

“EUR/JPY has eroded the 133.24 50% retracement but is stalling at the top of the cloud at 133.43 and we may see some consolidation here. We then look for further gains to the 134.25 61.8% retracement. Dips lower should be contained by the near term uptrend at 132.30 and while above here we will assume an upside bias”.

“The 132.30 uptrend guards the 131.82 late March high and further support at the 131.16 November low. This guards the March low at 128.96”.