Today’s Chart of The Day is EURJPY using the Point & Figure method.
We’re reaching a critical junction with this pair as shown by the double bottom support located at the 122.50. Below this level, we could potentially see the pair head into freefall as there does not appear to be any other major support regions nearby.
Should the longer-term downtrend continue as highlighted by the bearish resistance line, we could see a downside target of 115.25 before the EURJPY price finds reasonable levels of demand.
Alternatively, any upside moves above the 124.00 – 126.00 will be eyed as a potential change in the overall trend and perhaps renewed Euro strength.
By Adam Taylor CFTe
Sources: Go Markets, MetaTrader4, Tradingview, Bloomberg
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