EUR/JPY potential pullback to 136.25 – Commerzbank

FXStreet (Edinburgh) - Karen Jones, Head of FICC Technical Analysis at Commerzbank, sees a potential drop to ytd lows at 136.25.

Key Quotes

EUR/JPY came under pressure yesterday and focus has shifted to the 200 day ma at 138.27 – this is now exposed”.

“It should be noted that we suspect that the pattern developing on the chart is a potential bear flag – this following the break down from a triangle suggests a fast sell off once a close below the 200 day ma has been seen”.

“Our initial downside target is the 200 day ma and recent low at 138.27/15 en route to the 136.25 2014 low”.

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