- EUR/JPY is approaching ranges the place it threatens to reverse the medium-term pattern.
- Additional draw back might see the pair fall to the 50-day SMA.
EUR/JPY is threatening to reverse its medium-term uptrend and start a brand new downtrend. That is essential since in response to technical evaluation idea “the pattern is your buddy” so if the medium-term pattern reverses the chances will favor extra draw back to return.
EUR/JPY Every day Chart
A break beneath the 163.21 (November 8 low) would most likely verify a bearish reversal of the pattern. The following goal to the draw back is prone to be assist from the 50-day Easy Shifting Common (SMA) at 162.17.
The Relative Energy Index (RSI) momentum indicator is plateauing across the 49 mark however seems susceptible to extending one other leg decrease. This additional reinforces the bearish pattern reversal thesis.
