Morning Report

eurjpy16_12_2011

The pair is fluctuating around the previously breached descending channel's support which turned into resistance at 101.50 while Stochastic is losing its upside momentum over four-hour basis. Therefore, we expect an intraday downside move today and the continued negative effect of the bearish pattern that was completed with the breach of 104.75 targeting today 101.00 and requires stability below 101.80.

The trading range for today is expected among the key support at 99.40 and the key resistance at 102.45.

The short term trend is to the downside as far as 123.30 remains intact with targets at 94.80.

Previous Report

Weekly Report

Support101.00100.0099.4098.5098.00
Resistance101.50101.80102.45103.00103.80
RecommendationBased on the charts and explanations above our opinion is selling the pair around 101.50 targeting 100.00 and stop loss with four-hour closing above 102.45 might be appropriate