4 day dip below the 200 day MA failingThe EURJPY fell below the 200 day MA last week, helped by the concerns about tariffs and moves out of risk (and into the «safety of the JPY» pair). The move below the 200 day MA was the first time since April 2017.
The move below did attract sellers for a few days.
Looking at the daily chart above, the pair moved to a low of 129.34 yesterday. That was just below the lows from September 2017 at 129.37, 129.36 and 129.46 (see blue numbered circles in the chart above).
That break went nowhere, the price started to rebound and today the price moved back above the 200 day MA (green line at 131.36 currently. Disappointment for sellers.
Also near the 200 day MA is a number of swing levels in the 131.16-42 area (see red circles). Today that area was also broken to the upside.
The rotation back higher is more bullish from a technical perspective. Risk for the buyers is at that area between the 131.16-42.