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Previous: EUR/JPY Remains Bearish; Swing Projection Targets 100.30 (11/15)

EUR/JPY

EUR/JPY

The EUR/JPY remains bearish. 1) The 1H chart shows the market staying below the 200 period simple moving average. 2) Price action is breaking below a consolidation pattern from last week. 3) RSI never sustained a break above 60, and has returned to tag 30, showing bearish continuation momentum.

The daily chart also carries a bearish stance as the market trades below the 200 day SMA with the RSI failing to break back above 60, and now attempting to return below 40. Near-term support exists at 103.08, 78.6% retracement. Below 103, we open up the 2011 low at 100.78, and a swing projection to 100.30. Although the prospect of slipping below 100 is possible, it should probably be the maximum projection for the current swing seen in the daily chart.

EUR/JPY


Fan Yang CMT is the Chief Technical Strategist FXTimes - provider of Forex News, Analysis, Education, Videos, Charts, and other trading resources.