FXStreet (Córdoba) – EUR/JPY is falling modestly on Monday, after posting on Friday the highest close in almost a month. It printed a fresh daily low at 136.23 and currently trades at 136.35, less than 30 pips lower for the day.
EUR/JPY short term correction, holding a bullish tone
The pair is making a correction after rising sharply last Friday when it broke key resistance located around 135.75. It peaked last week at 136.95 and today it rose again to toward the 137.00 resistance area but it failed to break higher, forming a possible double top.
The formation could signal a continuation in the bearish correction with a possible target around 135.80 – 136.00. Despite the intraday correction that EUR/JPY is experiencing today, still holds bullish momentum on a wider perspective.
The upside is facing a strong resistance at 137.00, a break higher could open the doors for more gains. Above the key level to watch is located at 137.40/45 (September highs).
(Market News Provided by FXstreet)