9 Jan 2015
EUR/JPY may see a correction towards 134 levels – SG
FXStreet (Barcelona) - Analysts at Societe Generale note that EUR/JPY has confirmed a head-and-shoulders pattern on the daily charts and might see a reversal towards 137.80 and probably even to 134 levels.
Key Quotes
“EUR/JPY faced stiff resistance near 149.50/150, a projection for the fifth wave from an Elliot standpoint and close to the 76.4% retracement of the decline from 2008-2012. Monthly stochastics are indicating the possibility of a correction.”
“The EUR/JPY has confirmed that it is tracing a head- and-shoulders pattern on the daily chart, and has violated an upward channel, which suggests a reversal.”
“Thus, the pair looks poised to correct towards 137.80 and probably even towards the low of last October at 134.”
Key Quotes
“EUR/JPY faced stiff resistance near 149.50/150, a projection for the fifth wave from an Elliot standpoint and close to the 76.4% retracement of the decline from 2008-2012. Monthly stochastics are indicating the possibility of a correction.”
“The EUR/JPY has confirmed that it is tracing a head- and-shoulders pattern on the daily chart, and has violated an upward channel, which suggests a reversal.”
“Thus, the pair looks poised to correct towards 137.80 and probably even towards the low of last October at 134.”