For Traders

Analytical Reviews

Technical analysis

04.04.201217:47 Forex Analysis & Reviews: Technical Analysis and Trading Recommendations for EUR/JPY

Long-term review

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

Technical Outlook:

The pair has been trapped in the sideways channel since March 21, 2012. Support comes between 108.75 and 109.00 and resistance is well placed in the area between 111.00 and 111.25. Looking into the overall trend, it is bearish on Daily Charts; we expect a break though here. There is a high probability for a trade. Please refer to the attached chart below, a break below 109.00 today shall confirm a breakdown and that the bears are back in control.

Chart Setups and Trade Recommendations:

Structurally we are in a bearish market and it is trying to carve out a 'C' within the AB boundary. Once a breakdown is confirmed below 109.00 (we expect it to materialize soon), it is recommended to go short. The counter seems to be headed towards 107.70 and then 106.70 in the medium term. We expect a breakdown below 109.00. Bottom line: headed south.
Sell at 109.00 or Current levels, Stop at 110.00, Target1 at 107.70, Target 2 at 106.70.

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.