EUR/JPY may rise 113 - 168 pips

Our pivot point is at 161.02.

Our preference

The upside prevails as long as 161.02 is support.

Alternative scenario

The downside breakout of 161.02 would call for 160.11 and 159.56.

Comment

The RSI is above 70. It could mean either that the pair is in a lasting uptrend or just overbought and therefore bound to correct (look for bearish divergence in this case). The MACD is positive and above its signal line. The configuration is positive. Moreover, the price is above its 20 and 50 period moving average (respectively at 161.44 and 161.19).

Supports and resistances

164.57 **

164.03 *

163.48 **

162.93

161.80 last

161.38

161.02 **

160.11 *

159.56 **

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