Saturday, April 21, 2018

There May Be A Wide EUR/JPY Consolidation Next Week

On the monthly time frame the pair is between the strong support at 122.60 and the resistance at 137.00.

On the W1 time frame the pair is below the strong resistance at 133.00 and it is very probable for the pair to consolidate below it for a while before it continues falling.

On the D1 time frame the pair appears bearish and the first strong support is at 131.00 – 131.50.

On the H4 time frame, however, the pair has also reached a support level and it has closed the last two bars as spinning tops. That is a rather unambiguous signal that before the depreciation continues the pair will form a bullish correction with the expectation to reach around 132.50 – 132.60.