EUR/JPY Intraday Technical Analysis
At the moment the spot rate is testing the intermediate resistance of its medium term bearish channel at 103.80 and is likely to decline. However, a breakdown of these levels will release significant potential and enabling to reach its upper limit in 104.70.
Technical indicators provide sellers signals but as long as the resistance level is unbroken, the assumption of a decline is relevant. Bollinger bands are much discarded due to the strong decline that took place these days. The situation is expected to stabilize soon.
According to previous events the market will provide a bullish opportunity as soon as the spot rate has broken through its resistance of 103.80 with 104.40 and 104.60 seen as first targets. A break through 103.60 will cancel this scenario.
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