Weekly Report

eurjpy09_04_2012

The pair was able to reach the targets of the downside movement mentioned in our previous report, depending on the double top pattern shown above, where the pair is fluctuating around the retest level of the previous breached resistance of the descending channel. The positivity on momentum indicators supports the strength of the mentioned retest level at 105.90, while stability below SMA pressures the pair to the downside. Therefore, we remain neutral now, observing the pair's behavior in the critical levels of 105.90 and resistance107.00.

The trading range for this week is among the major support at 103.25 and the major resistance at 108.95.

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

Previous Report

Support105.90105.00104.25103.25102.55
Resistance107.00107.50108.00108.45108.95
RecommendationBased on the charts and explanations above we remain neutral, awaiting more confirmations