Morning Report

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The EUR/JPY pair has reached the detected technical target, mentioned in our weekly report easily after breaching the support line of the classical continuation pattern that was discussed yesterday. The pullback towards this broken support line is to be seen as a retest, before resuming the potential downside rally towards 117.40 levels under the negative pressure of the suggested Elliott count and the free fall below EMA 10-80 Ribbons lines.

The trading range for today is among key support at 118.35 and key resistance now at 124.15.

The general trend is to the downside as far as 141.44 remains intact with targets at 100.00 followed by 88.97 levels.

Weekly Report Previous Report

Support120.90120.65120.00119.30118.35
Resistance121.70122.10122.70123.10123.90
RecommendationBased on the charts and explanations above our opinion is, selling the pair with a breakout below 120.90 targeting 119.30 and stop loss above 122.20 might be appropriate.