EURJPY: Set To Breakout Of Its Symmetrical Triangle.
EURJPY- Having maintained a third week of upside gains following its failure below its triangle bottom at 130.24 and subsequent recovery higher, the cross now looks to build on those gains with eyes on the breakout of the mentioned symmetrical triangle. If this is seen, scope for further higher prices will shape towards the 138.71 level with a loss of there paving the way for a run at the 139.26 level, its YTD high. Its weekly momentum indicators have turned higher supporting this view. To the downside, the 132.16 level, marking its Oct 12'09 low looks to provide support with a turn below there exposing the 130.61 level, its Sept 30'09 high followed by its Oct 02'09 low at 128.98 level. We maintain our medium term upside bias view on the cross suggesting its current price consolidation within the symmetrical triangle remains corrective of its MT uptrend initiated from the 112.07 level. On the whole, with continued upside momentum seen, EURJPY looks to breakout of its triangle pattern and possibly retarget its YTD high at 139.26.
Weekly Chart: EURJPY