In the first days of this week we will talk about the EUR/JPY currency pair to get a new opportunity for profit. If you remember our previous report about the EUR/JPY pair from April 8, we advised to buy the pair around 115.95 after the pair reached the upside trend line and 61.8% Fibonacci and then formed a bullish candle, taking our first target at 118.20 and the second one at 120.10 with more than +415 pips; we also recorded the highest price at 124.52.
For seven days the pair has been trading around 124.00 levels after the rally and is still trading above the previous top from last December which supports resuming the uptrend again in the coming days. The Moving Average is trading below the prices and the pair is trading ahead of the 50% ratio from the big down wave from 141.00 to 117.78 from Brexit day. The RSI indicator made an overbought process and is still waiting for the down directions.
The Next Few Days From this analysis of the daily chart we can resume our buy position at the current prices at 124.20 and take our target at the 50% Fibonacci at 125.20, waiting for a bearish price action candle there to sell it. This week we don't have any hot news from the European Union or even from Japan but be careful about any unusual news that can change the market direction.
