EUR/JPY Breaks Out to Multi-Year High

<p>EUR/JPY (daily chart) has maintained its marked strength, breaking out above the key 133.80 resistance high (last hit in May) to establish a new high […]</p>

EUR/JPY (daily chart) has maintained its marked strength, breaking out above the key 133.80 resistance high (last hit in May) to establish a new high near 135.00 that has not been seen since November of 2009. This break to the upside that occurred today comes in the midst of substantial euro strength coupled with yen weakness against the greenback. Having broken out above 133.80, the pair has confirmed a continuation of the long and steep bullish trend extending back to the July 2012 lows near 94.00. More recently, the past two weeks have seen the pair break out above a large triangle pattern consolidation on its way to target the 133.80 level. Now that this 133.80 breakout has occurred, the next key objectives to the upside reside around the 136.00 and then 138.70 resistance levels. Downside support on any pullback currently resides around the 133.00 area.

Build your confidence risk free
Join our live webinars for the latest analysis and trading ideas. Register now

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.