After Ascending Movement, EURJPY Records Bearish Breakout

EURJPY Price Analysis – December 20

The single European currency may lose ground against the Japanese yen during the next trading session. The likely target may be at the 119.99 level. Once again, the EURJPY may be driven by the tone of risk over the US-China trade dispute in the absence of any news from the Eurozone.

Key Levels
Resistance Levels: 127.52, 124.31, 122.65
Support Levels: 119.99, 117.08, 115.83

EURJPY Long term Trend: Bullish

In the long-term, the EURJPY is still in the descending pattern that originated from the level at 127.52 (high). Progress from 115.83 level is seen as a corrective movement for this trend.

Solid resistance is recorded at the descending pattern resistance (now at 124.31 level) to contain the upside. However, the continuous breach of horizontal resistance might carry more upside sentiment and target the level at the major resistance level at 127.52.

EURJPY Short term Trend: Ranging

The daily bias in the EURJPY currency pair stays neutral as the consolidation extends from the level at 122.65. The downside of the reversal might be limited after the level of 119.99 support to bring in another high.

Previous support from the moving averages is a sign of an uptrend in the short term. On the upside, a break of the 122.65 level might approach the 123.37 resistance level first. The breach might approach the major resistance level (now the level at 124.31).

Instrument: EURJPY
Order: Buy
Entry price: 199.99
Stop: 119.24
Target: 124.31

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