15.05.201314:02 Forex Analysis & Reviews: EurJpy could reverse anytime now. 133.00 resistance

Long-term review

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Technical outlook and chart setups:

A daily chart view has been depicted here with trendline view. The inner trendline support is just around 131.00. Candlestick support is at 129.50, followed by 127.00, 125.00 and lower. Looking into chart patterns, the single currency pair is showing signs of a potential reversal or atleast a meaningful retracement of the entire run up rally. After getting stopped out yesterday at 132.60/65 just by a few pips, it is still encouraging to initiate short positions with 133.00 as stop. Yesterday's pattern was a star dogi, indicating grave indecision and a reversal is high probable. Short-term timeframes (1H-4H) have not yet confirmed bearish moves, hence conservative traders may opt to stay flat for now. Bottom line: Reversal is on cards now.

Trading recommendation:

Aggressive strategy would be to go short again at 132.20/30, stop is at 133.00/10, and target is open.

Good luck!

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