EURJPY - Sentiment negative for this week

Alan Collins 3cAnalysis

Although signals for sentiment going into last week were unclear and move below 120.21 turned technical studies negative. This break only occurred on Friday after trading during the bulk of week saw trendless, muted, price action. But Friday’s decline confirmed an underlying negative tone, posted a 3rd down week in a row and, importantly, signalled that levels above the important 13 day mvg avg continue to attract sellers. A new low for the month would accelerate negative momentum but studies are assessed bearish for this week.

There is profit taking potential of course but I'd look for that to be capped near 120.86 with downside objectives of 118.73, 118.09 and 117.31. I would only regard a move above 121.56 as bullish.

3 Down Weeks

Below 13 day line

Author

Alan Collins

3cAnalysis

Alan has been involved in the financial markets for more than 30-years.

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