Daily Pivots: (S1) 102.58; (P) 103.01; (R1) 103.33;
Further decline is still expected in EUR/JPY with 104.35 minor resistance intact. Current decline from 111.57 is expected to continue to retest 100.74 low next. On the upside, however, above 104.35 minor resistance will suggest that a short term bottom is formed, with bullish convergence condition in 4 hours MACD and will bring stronger rebound.
In the bigger picture, there is no signal of reversal yet with EUR/JPY staying below the falling 55 weeks EMA. Down trend from 2008 high of 169.96 is still in progress and should take out 100 psychological level eventually towards 100% projection of 139.21 to 105.42 from 123.31 at 89.52, which is close to 88.96 all time low. Though, sustained break of 55 weeks EMA (now at 111.56) will raise the odd of trend reversal and will turn focus back to 123.31 resistance for confirmation.
Further decline is still expected in EUR/JPY with 104.35 minor resistance intact. Current decline from 111.57 is expected to continue to retest 100.74 low next. On the upside, however, above 104.35 minor resistance will suggest that a short term bottom is formed, with bullish convergence condition in 4 hours MACD and will bring stronger rebound.
In the bigger picture, there is no signal of reversal yet with EUR/JPY staying below the falling 55 weeks EMA. Down trend from 2008 high of 169.96 is still in progress and should take out 100 psychological level eventually towards 100% projection of 139.21 to 105.42 from 123.31 at 89.52, which is close to 88.96 all time low. Though, sustained break of 55 weeks EMA (now at 111.56) will raise the odd of trend reversal and will turn focus back to 123.31 resistance for confirmation.