- We are currently looking at a jump in the Euro Index to a new yearly high of 1043.7.
- The yen index fell to its lowest level in several months today at 743.5.
Analysis of the Euro index chart
We are currently looking at a jump in the Euro Index to a new yearly high of 1043.7. We have succeeded in surpassing the previous high we recorded last week at 1043.4. During the Asian trading session this morning, the index received support at the 1041.0 level and is starting to consolidate upwards from there. This has brought us to this high, and we expect to see a continuation and rise to a new level. Possible higher targets are 1044.0 and 1045.0 levels.
We need negative consolidation and a pullback below 1043.0 for a bearish option. This move would increase pressure on the index to decline. If this comes into play, a pullback to the Asian support area could occur this morning. A drop below that could push the EUR index deeper, but we have no such indicators at the moment.
Yen indicator chart analysis
The yen index fell to its lowest level in several months today at 743.5. The Japanese index is still under great pressure, as is evident on the chart. We were able to break below the November low, which was at 744.6. For now, we stop at the new low and move to the 744.1 level. We need a much stronger push to shake the Yen and change the trend. First, we need to get back above the 746.0 level.
After that, we need to hang in there and start consolidating to the upside from there. Possible higher targets are 747.0 and 748.0 levels. In the area around 748.0, we are facing the 200 EMA, and if we want a tangible uptrend, we should move above it. Only then will the yen index have a chance to recover and begin a long-term recovery.
