InstaPoster
05-17-2012, 08:34 AM
http://forex-images.instaforex.com/userfiles/20120517/eurjpy.png
The spot rate is currently testing the intermediate resistance of its medium term bearish channel at 102.50 and seems to initiate a decline. However, a break through these levels will release good potential and will be able to reach the upper limit of this one to 103.10.
Technical indicators provide sell-signals but until the resistance is not broken the assumption of a decline is most likely. Bollinger bands have greatly tightened in recent days showing a decline in volatility and the imminence of a violent movement.
According to previous events the market will provide a bullish opportunity as soon as the spot rate has broken through its resistance of 102.50 with the 1st objective at 103.10 and then at 103.30. A break through 102.30 will invalidate this scenario.
The material has been provided by Instaforex Company - instaforex.com (http://instaforex.com/)
The spot rate is currently testing the intermediate resistance of its medium term bearish channel at 102.50 and seems to initiate a decline. However, a break through these levels will release good potential and will be able to reach the upper limit of this one to 103.10.
Technical indicators provide sell-signals but until the resistance is not broken the assumption of a decline is most likely. Bollinger bands have greatly tightened in recent days showing a decline in volatility and the imminence of a violent movement.
According to previous events the market will provide a bullish opportunity as soon as the spot rate has broken through its resistance of 102.50 with the 1st objective at 103.10 and then at 103.30. A break through 102.30 will invalidate this scenario.
The material has been provided by Instaforex Company - instaforex.com (http://instaforex.com/)