In a period when the euro continued to depreciate against the Yen, EURJPY parity sagged below the level of 122.64, accelerating the course of the dropping and reaching 121.35 support points. The downward pressure on EURJPY parity, which we expect the euro to continue to depreciate against the Yen in the new period, is likely to reach the June 2019 low point of 120.76, which is on our agenda on a short-term basis.
Main scenario: The 122.08 barrier representing the exponential moving average of 50 periods is a significant short-term resistance point, but EURJPY parity may wish to continue its negative trend outlook below the corresponding average. If the trend pricing continues, there may be a retreat towards 121.35 and 121.06 support and continue the possibility of selling process to the low point 120.76 level of June 2019 is strong.
Alternative Scenario: To end the positive trend outlook for the EURJPY parity, first the 50-period exponential moving average (122.08) and then the current top of the downtrend 122.39 must be crossed. In the case of a change in Trend, a positive outlook can be observed towards 122.64 and 122.96 especialy 123.30 resistance points, which in the event of such a change, 01 July summit 123.30 level can also be followed for the answer to the question of whether a new rise rally can be on the agenda.
Pivot: 122,08 – 122,39
Support: 121,35 – 121,06 – 120,76
Resistance: 121,75 – 122,08 – 122,39