3 Jun 2013
Flash: Further weakness expected - Commerzbank
FXstreet.com (London) - The EUR/JPY had been pretty sidelined all week. Commerzbank analysts said that very near term the market is on the defensive, the market is struggling here and the intraday charts are indicating further weakness is likely ahead of recovery.
The teams sight that being below 130.00 opens the way up for a slide to the February high at 127.71 and the 55 day moving average at 128.05 to be revisited. They state that the 6 month uptrend is located at 126.68. Given the 13 count on the weekly chart and the TD perfected set up, they say the market is likely to struggle to make gains beyond the 133.82 recent high and any short term bounce should fail ahead of or around the 132.78 mid- May high.
The teams sight that being below 130.00 opens the way up for a slide to the February high at 127.71 and the 55 day moving average at 128.05 to be revisited. They state that the 6 month uptrend is located at 126.68. Given the 13 count on the weekly chart and the TD perfected set up, they say the market is likely to struggle to make gains beyond the 133.82 recent high and any short term bounce should fail ahead of or around the 132.78 mid- May high.