Technical Analysis of EUR/JPY for May 09, 2016
Technical outlook and chart setups:
The EUR/JPY pair has bounced back after testing 121.40/50 levels today during early hours. It seems to be a double bottom in the making. The pair is trading at 122.66 levels for now, looking to continue higher. The pair needs to push at least above 123.40 levels to confirm that a meaningful bottom is in place at 121.40/50 levels and a rally could unfold going forward. It is hence recommended to remain long for now, with risk at 121.40 levels. Immediate support is seen at 121.40 levels, while resistance is at 123.40 levels respectively. Bulls are poised to regain control till prices remain above 121.40 levels from here on.
Remain long for now, stop at 121.40, target at least above 123.40.