Morning Report

eurjpy07_02_2012

The support level of the ascending correctional channel was able to stop the bearishness yesterday, where the pair rebounded to the upside after reaching areas around 99.85 to breach the pivotal resistance at 100.25-45, which in result means that the pair returned to the upside correctional move and drives us to expect an intraday upside move. SMA 50 supports the pair from below, while the suggested targets start at 102.55, yet stability above 102.55 is required for our positive expectations to prevail.

The trading range for today is among the major support at 99.90 and the major resistance at 102.55.

The short-term trend is to the downside as far as 123.30 remains intact, targeting 94.80.

Previous Report

Weekly Report

Support100.3099.9099.2598.5097.80
Resistance101.05101.60102.00102.55103.35
RecommendationBased on the chart and explanations above, our opinion is buying the pair with hourly closing above 100.85, and taking profit at 102.55 and stop loss below 99.90 might be appropriate today