Euro Index and Yen: The Yen Index continues to fall to 713,4

• At the start of the EU session, the euro index retreated to 1052.7, forming a new weekly low. 
• The bearish trend of the yen index continued today, bringing us down to a new weekly low at 713.4. 

Euro index chart analysis

At the start of the EU session, the euro index retreated to 1052.7, forming a new weekly low. However, a strong bullish impulse quickly followed, pushing the index back above the 1054.0 level. Our climb back above the EMA200 moving average further confirms this upward momentum. It’s crucial to maintain our position above this moving average to sustain this bullish trend. 

Potential higher targets are the 1055.5 and 1056.0 levels. A new pullback to the EMA200 and 1054.0 levels could trigger a bearish consolidation. The euro index would thus find itself again on the negative side and in a situation where it would start searching for a new level of support. Potential lower targets are 1053.5 and 1053.0 levels.

Yen index chart analysis

The bearish trend of the yen index continued today, bringing us down to a new weekly low at 713.4. We are currently at 713.8 and remain under strong bearish pressure. At the beginning of the EU session, the index had a short-term bullish impulse up to 715.0. We quickly turned to the bearish side, pulling back below the EMA50 moving average. 

Now, we expect to continue the decline, and potential lower targets are 713.0 and 712.5 levels. We need positive consolidation and a move above the 715.0 level for a bullish option. Then we need to hold there in order to get the support of the EMA50 moving average. After that, we will be in a good position to initiate further recovery. Potential higher targets are 715.5 and 716.0 levels.