FX.co ★ EUR/JPY: massive sell-off in play

The EUR/JPY crashed in the last hours and now is located at 162.64 at the time of writing. The downside pressure is high as the Japanese Yen Futures tries to come back higher. Technically, the price action signaled that the upwards movement ended and that the sellers could take full control.

Fundamentally, the Japanese SPPI rose by 2.3%, beating the 2.1% growth expected and the 2.0% growth in the previous reporting period. Now, the ECB President Lagarde Speaks brought some action as well.

Tomorrow, the Japanese BOJ Core CPI and the German Gfk Consumer Climate should have a significant impact.

EUR/JPY Trading In The Red!

As you can see on the h1 chatr, the rate failed to stay above the 163.50 key upside level and now it has turned to the downside. Escaping from the up channel announced that the leg higher ended.

Now it has dropped and closed below 162.90 static support and it challenges the next downside obstacle of 162.69.

EUR/JPY Forecast!

A bearish closure below 162.69 on the H1 chart activates more declines and is seen as a selling signal.