Discovering the Euro Index’s Changing Dynamics and JPY
The Euro index has been under bearish pressure for the past two weeks.
Last Thursday, the JPY index reached a high at the 767.3 level.
Euro index chart analysis
The Euro index has been under bearish pressure for the past two weeks. After the formation of the January high at the 1042.3 level, a pullback to 1029.9 followed on Thursday. This low was formed on the first of February, and then we saw bullish consolidation and growth to the 1036.00 level.
The Euro encounters new resistance there, which brings it back below 1035.0 and the EMA200 moving average. We were again under bearish pressure in that zone and were in a pullback during this morning’s Asian session to the 1032.0 level.
In the previous hour, the Euro index stopped its fall at that level, and we will probably wait for the US session to see a stronger impulse that would direct the movement of this index more specifically. A return above the EMA200 and 1035.0 levels could affect the increase in bullish momentum and the recovery of the Euro. Potential higher targets are 1036.0 and 1037.0 levels.
JPY index chart analysis
Last Thursday, the JPY index reached a high at the 767.3 level. After that, the index started to weaken very quickly, gaining support down at the 757.0 level. During the Asian trading session, it managed to hold above the support level and initiate a bullish consolidation up to 759.5. We have reached the resistance in the EMA200 moving average and need a break above for a further uptrend.
If today’s consolidation continues, a move above could happen soon. Potential higher targets are 760.0 and 762.00 levels. Failure to move above will increase bearish pressure, and the JPY index will be forced to retreat. Potential lower targets are 756.0 and 755.0 levels.
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