By: Doug Rosen
The EUR/JPY broke support yesterday without a doubt. A fib to the upside, possibly up to where price broke support is all it will take to get more bears into the move down.
On the 4 hour timeframe price is extended below the lower Bollinger band and price has just fallen below the monthly M1 pivot point. Profit takers should be coming into play soon enough and a retracement to the upside should soon be expected.
On the hourly timeframe price continues to fall and ride the 5 ema to the downside. I would like to see price retrace back up to the weekly S2 at 100.60 so that I can take a position short. At this time price has fallen too far too fast to grab a short, we need a retracement to a reasonable area of resistance to take this pair down further.
Finally, on the15 minute timeframe price is also extended outside the lower Bollinger band and price has already made its way below the daily S1 at 100.42 but I would like to see a retracement up to the 15 minute 21 ema around 100.50 to get in on this short and preferable as high as 100.65 which would be a kiss of the 15 minute 55 ema.
Only look for reasons to short this pair today since it is only going down.
