EUR/JPY: Short-Term Sell
EUR/JPY, 4-Hour Chart Analysis
The pair rallied strongly since the first round of the French election and it surged above the 124 level this morning before falling back below the strong resistance at 123.85. A reversal towards the 120 level is likely from the current rate as Yen might benefit from a correction in global stocks if safe-haven buying returns.
The recent highs provide a good stop-loss opportunity, should the rally in the common currency continue. The MACD indicator turned bearish today, pointing to, at least, a correction in the rising short-term trend. Below the 123 level, the support zones near 122 and below that at 121.20 could be in focus.