Trading Scenario: As we look into charts, EURJPY failed to make a new high yesterday after facing resistance at 114.74 level and fell below very critical support level 113.00 to 113.35. If price wants to continue further lower it must trade below 113.00 to 113.35 level. We must now closely look into price behaviour at 113.00 to 113.35 level before making any decision about getting into any trade.
If we look more closely EURJPY has not made a new low yet, the fall we are seeing now might be a pull back for the current uptrend. It is very important now to have an eye at 113.00 to 113.35 level. EURJPY is still in a bullish channel.
If EURJPY trades below 113.35, price may push to 112.00 to 111.00 levels where bullish channel support comes in.
If price breaks above 113.35 level doors will open up targeting 114.00, 114.70 followed by 115.70
Important Note: 113.00 to 113.35 is a Key Level.
Entry Strategy: Watch for price to trade below 113.35 level to go short or break above above to go long.
Trade Suggestion: If Price trade below 113.00 to 113.35 go short targeting 112.00, 111.00 where bullish channel support comes in.
Alternate Trade Suggestion: Our suggestion is to wait for break of 113.00 to 113.35 level and go long targeting 114.00, 114.70 followed by 115.70
Weekly Trend Direction: Bullish
Weekly Trend Reversal Level: 110.00
Key Support Levels: 112.00, 111.00, 110.00, 109.60
Key Resistance Levels:113.30, 114.78, 116.50, 119.08