eurjpy risk of another potential short term corrective decline within longer term uptrend 2689142017
Since our last analysis dated on 15 March 2017, the EUR/JPY had sold off as expected right below the 122.11 resistance (printed a high of […]
Since our last analysis dated on 15 March 2017, the EUR/JPY had sold off as expected right below the 122.11 resistance (printed a high of […]
Since our last analysis dated on 15 March 2017, the EUR/JPY had sold off as expected right below the 122.11 resistance (printed a high of 122.06 before FOMC monetary policy announcement) and declined towards the short-term downside target/support of 121.18 after the release of the less hawkish FOMC monetary policy statement. Click here for a recap on our previous report.
Now, let’s take a look at its latest technical elements
(Click to enlarge charts)
Intermediate resistance: 122.25
Pivot (key resistance): 122.90
Supports: 121.10, 120.54/40 & 120.00
Next resistances: 124.10 & 126.90
Therefore, as long as the 122.90 short-term pivotal resistance is not surpassed, the EUR/JPY may see a slide to retest the recent 16 March 2017 low of 121.10 and an hourly close below it is likely to reinforce the corrective decline to target the next support at 120.54/40 before potential recovery.
On the other hand, a clearance above 122.90 is likely to invalidate the preferred short-term bearish scenario to open up scope for a continuation of its medium-term uptrend from 27 February 2017 low towards the next resistances at 124.10 follow by 126.90 (upper boundary of the bullish ascending channel in place since 24 June 2016 low).
Charts are from eSignal
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