EURJPY enters an area of untested resistance. We have established this zone from a relative high about a week earlier.
This isn't so much a resistance as a potential supply zone. Price traded horizontally with buy pressures dying off as shown in the longer upper candlestick tails. Soon to follow, a massive series of sell orders with very little buy orders. This caused the sell off. Price is entering this zone once again. This is a risky trade especially after such a bullish move based on the poor RBA figures. Best to wait for confirmation of the candlestick patterns in this zone to see if buying pressure has eased off.
