EUR/JPY may rise 71 - 104 pips

170.94 is our pivot point.

Our preference

Look for a drop towards 170.94 before a bounce.

Alternative scenario

The downside breakout of 170.94 would call for 170.39 and 170.05.

Comment

The RSI is above its neutrality area at 50. The MACD is below its signal line and negative. The penetration of 50 on the RSI should trigger further losses. Moreover, the price is trading above both its 20 and 50 period moving average (respectively at 171.38 and 171.30).

Supports and resistances

173.11 **

172.78 *

172.45 **

172.12

171.41 last

171.16

170.94 **

170.39 *

170.05 **

Number of asterisks represents the strength of support and resistance levels.