Forex Market: EUR/JPY daily forecast

During yesterday’s trading session EUR/JPY traded within the range of 136.65-136.92 and closed at 136.84.

At 7:28 GMT today EUR/JPY was gaining 0.04% for the day to trade at 136.94. The pair touched a daily high at 137.05 at 7:10 GMT, breaching the first daily key resistance level.

Fundamental view

Japan’s Ministry of Economy, Trade and Industry (METI) will release Junes preliminary reading of the nation’s Industrial Production index at 23.50 GMT. The nations industrial output probably slowed down 1.2%, after in May the index came in at 0.7%.

The index measures changes in the volume of production and refers to the amount of goods produced by industrial enterprises. The index is based on a study of production (Current Survey of Production). The survey covers 530 types of goods. This is the percentage change from the previous month, according to final data.

Technical view

According to Binary Tribune’s daily analysis, the central pivot point for the pair is at 136.80. In case EUR/JPY manages to breach the first resistance level at 136.96, it will probably continue up to test 137.07. In case the second key resistance is broken, the pair will probably attempt to advance to 137.23.

If EUR/JPY manages to breach the first key support at 136.69, it will probably continue to slide and test 136.53. With this second key support broken, the movement to the downside will probably continue to 136.42.

In weekly terms, the central pivot point is at 136.82. The three key resistance levels are as follows: R1 – 137.27, R2 – 137.79, R3 – 138.24. The three key support levels are: S1 – 136.30, S2 – 135.85, S3 – 135.33.