Price action in the EURJPY market had earlier bounced off the support around the 155.00 price level. This has led to price action rising through some significant price levels to now trade above the 157.00 threshold. However, the momentum soon cooled down, and the market is now consolidating above the 157.00 price mark. Let’s try to unravel what may soon come to be in this market.
Key Price Levels:
Resistance Levels: 157.70, 158.50, and 159.50
Support Levels: 157.00, 156.00, and 155.00
EURJPY Buyers Are Limiting Bearish Progress
While price action in the EURJPY continues to consolidate above the 157.00 mark, it could be observed through careful examination that prices in the ongoing sessions are getting contracted upwards. Although the last price candle on this chart looks quite small in appearance, it could be seen that the corresponding price candle has a longer lower shadow, while its body is appearing close to the upper shadow.
This has assisted the pair to retain its trading activities above 157.00, thus staying above the middle band of the Bollinger Bands indicator. The lines of the Moving Average Convergence Divergence indicator are still trending upwards, generally at least. Likewise, the bars of the indicator remain above the equilibrium level despite their pale green appearance.
EURJPY Bullish Stand Is Being Expressed
Price activity in the EURJPY market has started correcting upwards off the lowest limit of the Bollinger Bands. Also, the middle limit of the Bollinger Bands is now within arm’s reach. Likewise, the uppermost and lowest limits of the Bollinger Bands now look narrower than before. However, in the previous seasons, the MACD indicator lines have shown that bearish momentum seems stronger.
Nevertheless, the ongoing session has made a sustained minimal upside correction off the lowest limit of the Bollinger Bands. Consequently, this has initiated the appearance of a pale red price candle, signaling that downward forces seem to have started growing weaker. This suggests that upside forces may cause the market to rise toward the 159.00 mark at least.
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