EUR/JPY has started to erode its 55 day ma and in doing so indicates that it is ready to break higher from its sideways range. Our stance is neutral to positive as we regard the market has having based recently at the 200 day ma at 113.23 (note the 55 WEEK ma is also located here at 112.91). To provoke some upside interest however we need to clear the 55 day ma resistance at 117.45 preferably on a closing basis. This will target the 119.11 resistance line en route to the 123.33 recent high.
EUR/USD is bid near term having eroded resistance at 1.4340/65 ( interim high and the 38.2% retracement of the recent sell off). The move above here has initiated the start of a deeper corrective phase to potentially 1.4568/1.4730 (61.8% and 78.6% retracements). This is regarded as the last defense for 1.4940.
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Commerzbank Corporates & Markets
Technical Research