- Home
- >
- FX Daily Forecasts
- >
- EURJPY we wait a correction for a new short
EURJPY we wait a correction for a new short
Rating:
Loading...Forex Technical Analysis EURJPY | Our expectations:
Testing the neckline of the formed Head and Shoulders gives good reason to look for profits from short positions, with the stop at least at 130.65. This suggests that the risk is slightly larger and the position should be smaller at the current levels or wait for a slight adjustment (the better option).
Downward movement and multiple resistance coupled with Fibonacci levels of the two downward waves create a level the sellers are likely to return to.
The SMA50 and SMA200 are in the bear formation - a negative signal.
The last closed bar is bearish with a relatively large upper shadow, indicating the fatigue of the upward corrective impulse that is quite sharp and seems to be caused by lack of liquidity and short positions in the range.
Stock market uncertainty yesterday will support JPY and EUR can remain under pressure before the upcoming ECB meeting next week.
Alternative Scenario: Breaking the price above the upper diagonal will break the negative scenario.
Trader Nikolay Georgiev Read more:
If you think, we can improve that section,
please comment. Your oppinion is imortant for us.
