Morning Report

eurjpy04_08_2011

The pair inclined sharp and currently close to the previously breached horizontal support at 113.65 along with the 50 EMA. Therefore we expect an intraday downside move targeting initially 111.70. Breaching 113.65 will invalidate the bearish scenario and lead to more bullishness toward 114.80.

Trading range for the day is among the major support at 110.25 and the major resistance at 115.80.

The short term trend is to the downside targeting 100.00, as long as 123.30 remain intact.

Previous Report

Weekly Report

Support112.80112.30111.70111.20110.65
Resistance113.65114.10114.80115.10115.50
RecommendationBased on the charts and explanations above we recommend selling the pair around 113.65 targeting 111.70 and stop loss above 114.80 may be appropriate.