Forex Market: EUR/JPY daily forecast

During Friday’s trading session EUR/JPY traded within the range of 138.65-139.13 and closed at 138.97.

At 5:38 GMT today EUR/JPY was losing 0.12% for the day to trade at 138.81. The pair touched a daily low at 138.73 at 3:40 GMT, breaching the first key support.

Fundamental view

Consumer Confidence in Germany, the largest economy in the Euro zone, probably remained unchanged at 8.5 in June, according to median estimate by experts.

The Gfk Consumer Confidence index is calculated based on a study called “GfK-Wirtschaftsdienst Konsum – und Sparklima” (Economic Survey Gfk on consumption and savings). It is published the market research group – GfK Marktforschung. The study is based on monthly interviews with consumers on behalf of the European Commission. A representative sample of about 2,500 selected participants were asked questions about their expectations of the economic situation and how they evaluate their own financial situation.

The market research group – GfK Marktforschung is scheduled to publish the official data at 6:00 GMT on Monday. A higher-than-expected increase in the consumer confidence would boost demand for the 18-nation common currency.

Technical view

According to Binary Tribune’s daily analysis, in case EUR/JPY manages to breach the first resistance level at 139.20, it will probably continue up to test 139.39. In case the second key resistance is broken, the pair will probably attempt to advance to 139.69.

If EUR/JPY manages to breach the first key support at 138.75, it will probably continue to slide and test 138.41. With this second key support broken, the movement to the downside will probably continue to 138.22.