EURJPY Analysis

May 2, 2020

Here we can see the 200 MA acting as a dynamic resistance. If we see a pullback into the 38.2 fib level of the recent push higher, which also lines up with a major support zone on higher timeframes then we could look for entries to go long. From a COT perspective banks continue to add positions to the Euro as market sentiment seems to be improving due to coronavirus cases/deaths decline from peak levels. This could induce a risk on environment and could cause the euro to rally.