EUR/JPY Trades Does Well – What’s Next?
Arslan Butt • 1 min read
The single currency Euro slipped as traders seemed uncertain about the EU summit and the outcome on Brexit issue. However, it turned in our favor as the weakness in Euro got us green pips in the EUR/JPY. What’s next for it?
As you can see on the chart, the EUR/JPY is falling dramatically to test the double bottom support zone of 127.400. Here are three solid reasons to stay bearish on EUR/JPY.
- The pair seems to form three black crows which demonstrates the selling bias of traders.
- Stochastic is below 50, which is signaling selling trend.
- The EUR/JPY is holding below 20 & 50 periods EMA, which is another sell signal for us.
EUR/JPY – Trade Plan
Since we already encashed the selling trend, now I’m looking for a buying trade in the EUR/JPY. Therefore, the idea is to place a buy limit at 129.200 to target 129.650 today. Good luck!